French automaker Renault is planning to list its electric vehicle subsidiary Ampere on the stock market as early as spring 2024, Reuters reports, citing CEO Luca de Meo’s Monday announcement.
The parent company initially aimed to separate Ampere from the rest of Renault on November 1, 2023. Nonetheless, Renault will still own 100% of Ampere’s stock.
“So we separate and then we see if we have the right conditions to enter the market. Once we’ve done that, there’s the whole system behind it, possibly to follow the logic of an IPO where we have to present the project to investors. Obviously we’ve already started, it’s going well and then there’s has windows in the market (..) and we said it would be spring 2024 instead.”
Renault CEO Luca de Meo
Nissan to invest 600 million in Ampere
Japanese legacy automaker Nissan will help fund Ampere’s IPO with a significant investment of 600 million euros.
In return, Nissan will secure a seat on the company’s board of management. It will also own less than 10% of Ampere’s stocks, Teslarati noted.
It is also worth noting that Renault CEO De Meo will also advance Ampere’s Chief. Meanwhile, the management team will include COO Josep Maria Recasens and CFO Vincent Piquet.
Ampere also aims to employ approximately 10,000 workers. Of that total, one-third will consist of engineers. They will produce electric and software-based vehicles.
Renault and Nissan jointly announced plans to finalize the “definitive agreements” by Q4 2023.
Ampere EV portfolio
InsideEVs reported that Ampere will develop and launch all-electric passenger cars under Renault.
The portfolio will include six software-defined EVs before the end of the decade. It will market in Europe’s popular segments, B and C.
The subcompact segment will witness the arrival of Ampere’s new Renault 5 Electric and Renault 4 Electric. Meanwhile, the compact segment will sell the current Megane E-Tech Electric, Scenic E-Tech Electric, and the two models that have not yet been disclosed.
“The advantage we have is that we will have a very significant product effect, if ever there is tension on the price side. Mechanically when we have new products, there is also a positive effect on the margins so I think we could even be in a changing, countercyclical context.”
Renault CEO Luca de Meo
See Also:
- Renault to produce a sub-$32,500 electric car, per report
- Renault to employ software architecture on par with Tesla by 2026
- Nissan to invest about $663M in Renault’s Ampere
- Nissan to invest 15% in Renault’s Ampere under their restructured partnership
- Renault-owned Alpine previews electric hot hatch concept, production version to launch in 2023
The imminent IPO of Ampere demonstrates Renault’s commitment to electrification. The EV subsidiary will aid the parent company in reducing production costs for its next-gen EV models by 40%.
It would be interesting to see if Ampere can reach its annual revenue target of a 30% growth rate by 2030. In the same year, it also aims to record double-digit margins. Moreover, it also aims to hit profitability by 2025.
