Renault has reiterated its wish for one share one vote at today’s General Assembly in Paris, following the French State’s decision to increase its stake in the automaker to nearly 20%.
Paris’ move to up its stake in the automaker is based on the Loi Florange, designed to allow those holding shares for at least two years to be granted double voting rights.
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Renault is still locked in its General Assembly, but it issued a statement today (30 April) insisting on a single vote.
“The Renault Board wishes to underline the reasons which led it to put to shareholders resolution number 12, relating to the non-application at Renault of double voting rights and the continuation of ‘one share, one vote,'” said the automaker.
“The temporary purchase by the State of 4.5% more capital in Renault in the perspective of the General Assembly, strongly reduces the probability of adopting resolution number 12; but that does not change the deep analysis made by the very large majority of the Board.
“With this in mind, a large majority of the Board, which met on 16 April, demands the balance between the two main Renault shareholders be maintained.”
Renault’s CFE-CGC union is however, backing Paris’ position and is opposing the ‘one share, one vote,’ resolution, throwing its weight instead the Loi Florange.
“This will allow the French State to guarantee its influence in the running of our group and thus ensure Renault is anchored in France,” said an earlier statment from the union.
Further details from the General Assembly are expected later.
