Renault’s EV unit Ampere aims for Spring 2024 IPO, says CEO

Renault (OTC:) (EPA:) CEO Luca de Meo told BFM TV Monday that the automaker is looking to list its electric vehicle brand, Ampere, on the stock market in the spring of 2024. As part of the preparations leading up to the initial public offering, Renault had set its sights on November 1 of the current year to complete the separation of the unit from the rest of the company.

“So we separate and then we see if we have the right conditions to enter the market,” Meo said

The separation has been a focal point of discussions between Renault and its Japanese partner Nissan (OTC:), as both firms endeavor to reshape a long-standing two-decade alliance. As part of this restructuring, Nissan is expected to make an investment for a 15% stake of the newly formed unit.

“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”.

The company revealed in June that they expect to finalize the separation in the second half of 2023, with a targeted IPO window in the first half of 2024.

Additionally, the group plans to capitalize on the scheduled launch of 20 new car models by 2025 as a strategic move to address increasing competition.

“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,” said Luca de Meo.