Renault Group decides to cancel Ampere’s IPO and confirms its EV and software strategy
January 29 2024 - 10:44AM
Renault Group decides to cancel Ampere’s IPO and confirms its EV
and software strategy
Press ReleaseJanuary 29, 2024 |
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20240129_Press Release_Renault Group_Ampere IPO
Cancellation_Strategy confirmation
Renault Group decides to cancel
Ampere’s IPO and confirms
its EV and software strategy
Boulogne-Billancourt, January 29, 2024
Renault Group has created Ampere, the
only European EV and software pure player, with one goal:
democratize EV in Europe faster than EV pure players.
Since the inception, Renault Group’s strategic
approach has been to build Ampere as a separate business with a
dedicated team on EV and software to ensure higher competitiveness,
agility and innovation. Since November 1st, 2023, Ampere is
operated as an autonomous business, and the Group measures the
operational and industrial benefits of this
organization on a daily basis.
In 2022, Renault Group had announced its
intention to proceed with an IPO (initial public offering) for this
entity. The latest calendar referred to the 1st half of 2024,
depending on market conditions. Renault Group considers that the
current equity market conditions are not met to
optimally pursue the IPO process in the best interests of Renault
Group, its shareholders and Ampere.
As previously announced, Renault Group strategic
plan, Renaulution, is self-funded and the results
which will be released for 2023 confirms the Group’s ability to
generate sustainable cash flow to finance
its future (including Ampere development). Over the last
semesters, Renault Group has significantly improved its performance
to reach levels above initial expectations. It offers the Group
greater flexibility and all the freedom of action it needs.
Therefore, considering both current equity
market conditions and stronger cash generation, Renault Group has
decided to cancel the Ampere IPO process.
The whole Ampere team is fully committed
to execute its strategy and build its track-record. The
main focuses are on:
- a clear roadmap
already engaged to drastically reduce EV cost by
40% in one generation (allowing to gradually improve the price
positioning of vehicles);
- a sound tech plan
to differentiate with software and AI solutions
(OpenR Link, Reno Avatar, Software-Defined-Vehicle…);
- major
upcoming launches with Scenic, Renault 5, Renault 4,
Twingo and 2 additional cars;
- the ramp-up of the
most compact and efficient industrial EV ecosystem in Europe
already invested.
Renault Group will continue to fund the
development of Ampere until Ampere reaches breakeven in 2025. All
the targets announced during Ampere Capital Markets Day are
confirmed. Furthermore, this decision has no impact on the
financial guidance of Renault Group and its capital allocation
strategy.
“I’m extremely proud of our teams who created in
less than 2 years the best answer to top global players competition
with Ampere. By setting up a 100% focused EV and software business,
we built in record time an agile and competitive entity. We have
the start-up mindset which allows us to constantly innovate. This
is exactly what will make Ampere successful in this new challenging
environment. Today, we took a pragmatic decision. We are all
focused on executing our strategy and building our track record to
create value for all our stakeholders.” said Luca de Meo,
CEO Renault Group & CEO Ampere
Luca de Meo, CEO of Renault
Group, and Thierry Piéton, CFO of Renault Group,
will host a visio conference at 6.30pm Paris time:
Access to conference
streaming.
About Renault Group
Renault Group is at the forefront of a mobility
that is reinventing itself. Strengthened by its alliance with
Nissan and Mitsubishi Motors, and its unique expertise in
electrification, Renault Group comprises 4 complementary brands -
Renault, Dacia, Alpine and Mobilize - offering sustainable and
innovative mobility solutions to its customers. Established in more
than 130 countries, the Group has sold more than 2.235 million
vehicles in 2023. It employs nearly 106,000 people who embody its
Purpose every day, so that mobility brings people closer. Ready to
pursue challenges both on the road and in competition, Renault
Group is committed to an ambitious transformation that will
generate value. This is centred on the development of new
technologies and services, and a new range of even more
competitive, balanced, and electrified vehicles. In line with
environmental challenges, the Group’s ambition is to achieve carbon
neutrality in Europe by 2040.https://www.renaultgroup.com/en/
RENAULT
GROUP INVESTORRELATIONS |
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Philippine de
Schonen+33 6 13 45 68 39philippine.de-schonen@renault.com |
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RENAULT
GROUP PRESS RELATIONS
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Rie Yamane+33 6 03
16 35 20rie.yamane@renault.com |
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- 20240129_Press Release_Renault Group_Ampere IPO
Cancellation_Strategy confirmation
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