Nissan Motor Is in Talks To Buy Stake in Renault

The Associated Press reported that Nissan Motor Co Chief Executive Carlos Ghosn said that his company is negotiating with alliance partner Renault of France to strengthen their investment ties, but denied media reports that the two automakers were preparing to set up a joint venture in Europe that eventually would become a holding company for their global operations.

Ghosn told reporters that Nissan could buy a stake in Renault "soon" if the financial condition of the once-ailing Japanese automaker continues to improve.

"That's possible once Nissan reduces its debt and it has enough capital to focus on its core businesses," he said. "It may be soon. I don't deny it."

The Nihon Keizai financial daily reported today that Nissan is expected to spend more than 100 billion yen ($826.6 million) to buy a 15 percent stake in Renault.

The AP also reported that Nissan's chief executive denied that any such specifics had been decided and didn't elaborate further.