Dongfeng Motor (0489) and Renault are planning to restructure their joint venture Dongfeng Renault due to the downturn in the domestic market and Dongfeng Renault’s operation, Dongfeng Motor announced today. Renault and Dongfeng Motor entered into a non-binding memorandum and reached a preliminary understanding, of which Renault intends to transfer its 50 percent equity interest in Dongfeng Renault to the Dongfeng Motor, according to the statement. Dongfeng Renault will halt business activities related to the Renault brand. Dongfeng Motor intends to implement business transformation and upgrading with Dongfeng Renault. Shares of Dongfeng Motor fell by 1.99 percent to HK$4.92 as of 1:33 pm.

Source: The Standard April 14, 2020 07:18 UTC