Renault weighs separate listing for EV assets, CEO says

PARIS – Renault Group CEO Luca de Meo said that the automaker's plans to create a separate division for its electric vehicle assets could eventually lead to a separate listing.

"This is precisely what we are reviewing," De Meo told a news conference on Tuesday.

The plan to separate the combustion engines arm could interest Nissan or long-term investors, he added. Renault is to have an electric-only lineup in Europe by 2030.

Ford has recently initiated a similar move, although it does not plan to separately list its Ford Blue (internal combustion) and Ford Model e (electric vehicles) divisions.

De Meo wants to press ahead with plans to create separate divisions for electric and combustion engine vehicles despite potentially costly uncertainty over its interests in Russia, three sources told Reuters last week. 

Playing catch-up with rivals such as Tesla and Volkswagen, Renault first outlined its strategy shift in February, days before Russia's invasion of Ukraine, saying its turnaround plan was ahead of schedule.

De Meo on Tuesday said Renault was "very confident" that it would deliver on its turnaround plan, as it was financed despite the impact of the automaker’s suspending its activities there.

The war in Ukraine has resulted in Western powers imposing extensive sanctions against Russia, leaving Renault, majority owner of Russia's biggest carmaker, AvtoVAZ, faced with what de Meo has called a "very complex situation."

After announcing the suspension of its activities in Russia, Renault is reviewing its options for the Moscow plant and its shareholding in AvtoVAZ.

"We are well armed to try to find a solution in the long term that can protect our assets and our employees, and in fact not to completely insult the future because life goes on and we hope the situation on the ground returns to normal," De Meo said on Tuesday.