Nissan to decide on Renault bid on March 27

TOKYO (March 22) — Nissan Motor Co. said it will decide on whether to accept Renault SA’s estimated $5.3 billion US bid for a 35% stake in Japan’s No. 2 carmaker at a board meeting on March 27.

Thirty-five percent would amount to a controlling minority position.

The purchase would help Europe’s sixth-largest carmaker to push into U.S. and Asian markets. Nissan needs cash to help it repay $36.4 billion US in consolidated debt. Nissan’s long-term debt is rated “junk” by Moody’s Investors Service, a U.S. ratings company.

Nissan has said the offer includes a possible stake in its Nissan Diesel Motor Co. truck unit. Renault has declined to give financial details of its offer. Renault is the parent of Mack Trucks, North America’s No. 3 truck-maker.

Paris business daily Les Echos said officials from both companies would hold a joint press conference immediately following a Nissan board meeting.