Renault SA and alliance partner Nissan Motor Co. are discussing plans for a closer tie-up in which the Japanese carmaker would acquire the bulk of the French state's 15 percent Renault stake, people close to the matter said.
The carmakers are in talks with government officials over proposals by Renault-Nissan boss Carlos Ghosn that would see Paris give up influence at Renault and the French carmaker relinquish control over Nissan, according to three sources.
But any deal still faces significant hurdles — not least its extreme political sensitivity in France — and has yet to win government approval, they said. To do so, it must balance French and Japanese interests, avoiding the appearance of a takeover.