Renault board to vote next week on merger with Fiat Chrysler

By Abbey Westbury
May 31 2019 04:42 AM

CP1680925174 — FILE - This Jan.24, 2019 file photo shows Jean-Dominique Senard after being appointed Renault chairman following a meeting of the board held at Renault headquarters in Boulogne-Billancourt, outside Paris. Fiat Chrysler on Monday May 27, 2019 proposed a merger with French carmaker Renault aimed at saving billions of dollars for both companies as the industry pivots to electric and autonomous vehicles. (AP Photo/Christophe Ena, File)

PARIS – French automaker Renault says its board will meet on Tuesday to vote on a possible merger with Fiat Chrysler.

Fiat Chrysler has proposed to merge with Renault to create the world’s third-biggest automaker, worth almost $40 billion, and combine forces in the race to make electric and autonomous vehicles. The merged company would produce some 8.7 million vehicles a year, more than General Motors and trailing only Volkswagen and Toyota.

If Renault’s board approves the plan, that would allow for the two sides to enter exclusive merger negotiations. The ensuing process would involve consultations with unions, the French government, antitrust authorities and would take about a year.

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