Aramco Invests In Renault & Geely's Powertrain Tech Company - What's On The Cards?

Author: Shivani Kumaresan | March 02, 2023 06:50am

• Petroleum company Saudi Aramco has signed a letter of intent with Renault ADR (OTC:RNLSY) and Geely Automobile Holdings Ltd.(OTC:GELYY) to become a potential minority stakeholder in a new powertrain technology company (PWT). The financial terms were not disclosed.
• The PWT to be established by Renault and Geely will be dedicated to internal combustion and hybrid powertrain technologies.
• Aramco's investment would support the growth of the company, and contribute to key research and development across synthetic fuels solutions and next-gen hydrogen technologies.
• Also Read: Renault In Talks With AutoNation For Alpine Sales In US
• Geely and Renault expect to retain equal equity stakes in the new independent entity.
• The company will have a global network of 17 powertrain plants and five R&D centers across three continents.
• PWT will be a standalone global supplier with a combined capacity of over five million internal combustion, hybrid and plug-in hybrid engines and transmissions per year, supplying over 130 countries and regions.
• "Aramco's entry brings to the table unique know-how that will help develop breakthrough innovations in the fields of synthetic fuels and hydrogen," said Renault CEO Luca de Meo.
• Also Read: Nissan, Renault Invest $600M To Produce Six New Models In India
• Price Action: RNLSY shares closed lower by 0.11% at $8.90 on Wednesday.
• Photo Via Company

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