France’s Renault has decided the “the current equity market conditions are not met to optimally pursue” an IPO for the Ampere EV and software business it has carved out of the group. The firm had been targeting the first half of this year for a float.
Renault also hails improved cash generation, which will improve its ability to fund all of its businesses, including Ampere, as another factor in its decision.
Sign up for EV inFocus
EV inFocus: Hard news for the corporate e-mobility sector
No spam. Unsubscribe anytime.
The firm stresses that the decision not to go public does not change its overall strategy on Ampere, which has operated as an autonomous business since the start of November.
Ampere remains focused on “drastically” reducing EV costs by 40pc in a single generation, allowing Renault to gradually improve the price positioning of vehicles, major upcoming launches such as Scenic, Renault 5, Renault 4, Twingo and two additional cars, differentiating with software and AI solutions and ramping up “the most compact and efficient industrial EV ecosystem in Europe”, Renault says.
“By setting up a 100pc-focused EV and software business, we built in record time an agile and competitive entity,” says Luca de Meo, CEO of both Renault Group and Ampere.
“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.”
Ampere already has investment commitments from Japan's Nissan and Mitsubishi, the two fellow members of the Renault–Nissan–Mitsubishi Alliance, as well as California software company Qualcomm.
Peter boasts 20+ years’ experience in energy/commodity journalism & analysis.
He is convinced the next few decades will be all about energy transition. Insider Focus is a front-row seat for the ride.
