Nissan Motor Co., Japan’s third-largest automaker, may join a venture with U.S. retailer Penske Automotive Group Inc. and General Motors Corp.’s Saturn car brand, two people familiar with the matter said. The idea is that Nissan, its affiliate Renault SA or another automaker may make Saturn-brand vehicles for a new venture that could be operated by Penske and distributed through Saturn’s retail network, said the people, who asked not to be named because discussions are private. GM is seeking to spin off or sell the Saturn brand and its distribution network that links 350 to 400 U.S. dealerships.
Chief Executive Officer Carlos Ghosn may want to put Nissan’s North American factories to work producing vehicles under the Saturn nameplate after Nissan and Infiniti sales in the U.S. fell by a third. Nissan shares have gained 59 percent this year. For Penske Automotive, such a venture may allow it to expand its business, similar to its distribution of Daimler AG’s Smart brand. “We’ve looked at Saturn,” Chief Executive Officer Roger Penske said May 4 in an interview. “We look at a lot of opportunities. It would be premature to say we’re anywhere close to a deal.”
U.S. Saturn franchisees have collectively invested from $1 billion to $2 billion in their stores, parts and related equipment, according to dealer estimates. GM, facing a June 1 deadline to cut debt and other costs or file for bankruptcy protection, plans to shrink its eight U.S. automotive brands to four. Multiple Bidders: The automaker has committed to producing Saturn models through the end of this year and is willing to make them on a contract basis through 2011, Jill Lajdziak, general manager for the brand, said April 28.
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