Paris (AFP)
"Fiat withdraws its offer". At 1:00 am, Thursday, the Italian-American manufacturer creates amazement, just 11 days after the announcement of his proposed marriage with Renault, which was to upset the global automotive industry.
In the middle of the night, at the headquarters of the diamond group, in Boulogne-Billancourt, on the banks of the Seine, the office lights remained on: 19 directors left 6 hours of meeting.
We were waiting for a green light for exclusive negotiations. We learn that for the second day in a row, the board of directors postpones its decision, at the request of the French State, the largest shareholder of the group.
Paris is asking for a few more days to secure the support of Nissan, a 20-year-old ally of Renault, who has not concealed its dissatisfaction at being, until the last moment, kept out of the project and fearing to be marginalized within the new group.
- "rushed decision" -
But the Fiat Chrysler (FCA) officials lost patience and throw in the towel, believing that Bercy was taking them by boat. At the French Ministry of Economy, it is said not to understand the impatience of FCA and regret "a rushed decision".
Announced with fanfare on May 27, the mega-fusion failed.
It was to create the number 3 world car or even the number 1, largely ahead of rivals Toyota and Volkswagen, also aggregating the sales of Japanese partners Nissan and Mitsubishi.
It's a terrible defeat for Renault's new president, Jean-Dominique Senard. The former boss of Michelin, known for his diplomatic skills, succeeded in February to Carlos Ghosn, fallen from all his mandates since his challenge in Japan for various alleged malpractices.
He led negotiations at the run.
For months, Renault and FCA have been discussing cooperation on technology or platform sharing. The two groups know each other well, the diamond manufacturer manufacturing for Fiat a utility in Sandouville (Seine-Maritime).
But things take a new turn between late April and mid-May.
- Relationships between Nissan and Renault -
The relations between Nissan and Renault are then at worst. The leaders of the French group suspect their "allies" to have leaked in the press a confidential and friendly offer of merger proposed by Renault, torpedoing the project.
Senard, who had actually put back on the table a file already rejected by the Japanese side of the time of Carlos Ghosn, is weakened. He feels he can no longer trust Nissan's management team, according to experts on the file.
"At the end of April, at the time of leaks orchestrated by Nissan, he said + he must accelerate + (with FCA) and in a month it was done," told AFP a source close to the discussions.
Mr. Senard believes that an isolated Renault would be in danger in a rapidly deteriorating economic environment while huge investments must be made to prepare future vehicles, electric, autonomous and connected. "Seeing that the merger with Nissan was not possible, he looked for another way," said the source.
At the same time, FCA leaders seek an ally for similar reasons. The French rival PSA is on the ranks but is not retained.
"The Italians understood that Renault was going to be embarrassed and they said to themselves + it's the moment +" to make a proposal, says another source.
"A little before mid-May," FCA President John Elkann, grandson of Fiat's iconic president, Gianni Agnelli, "phones Mr. Senard and asks if he would agree to discuss a merger, "told AFP a close Renault.
- an almost filial link -
Between the 43-year-old heir and the 66-year-old leader, the current passes and quickly establishes an almost filial bond. The young man, married to Lavinia Borromeo, heiress of one of the oldest Italian aristocratic families, and the boss at the end of his career, son of a diplomat and an aristocratic mother, share the same settled temperament, the same good ways.
Son of the Franco-Italian writer Alain Elkann, the president of FCA did his high school in Paris and mastered the language of Molière. They exchange in French.
The two men meet five or six times, alternately in Paris and Turin, at their respective homes. "There was no big caviar-champagne dinner, it was rather afternoons of work," says a close to the French boss.
The discussions are surrounded by the greatest secrecy. Less than a dozen Renault managers are informed. Nissan is not informed. The French government is put in the loop late but the Elysee has given its approval.
The Friday before the announcement, the project of "marriage between equals" is presented by Mr. Senard to the Minister of Economy Bruno Le Maire who gives his agreement with conditions.
From the weekend, information begins to leak. The proposed merger is announced on Sunday by AFP while Renault is still waiting for the written proposal of FCA to inform Nissan.
- a letter in the night -
In Boulogne-Billancourt, the letter arrives in the night from Sunday to Monday. Everything is ready to launch the communication plan.
Renault and FCA praise their geographic complementarities, that of their product ranges, the prospects of synergies, their nearly 9 million vehicles per year ...
Experts believe that Renault is now in a strong position against Nissan. While saying himself open, the Japanese ally does not hide his anger. Mr. Senard goes immediately to Tokyo to explain the project that leaves the door open to Nissan. He returns to Paris reassured and confident to have convinced his partners.
On the night of May 5 to 6, the reserves of the two representatives of Nissan on the board of directors convince the state to delay the merger.
? 2019 AFP