France’s Renault attracts down a part of state-backed mortgage, Auto Information, Automobilnews
PARIS: French carmaker Renault has drawn down a part of a 5 billion-euro ($5.85 billion) mortgage assured by the French authorities, put in place earlier this 12 months to shore up its funds throughout the coronavirus disaster, its chairman mentioned.Jean-Dominique Senard didn’t element how a lot of the mortgage Renault had tapped, however added that the group had ample liquidity and that it had solely drawn down on the power to take advantage of the instruments at its disposal.
“There won’t be a single euro of public cash used for Renault, I am stating this clearly, until the world collapses,” Senard mentioned at an occasion on Thursday at which the carmaker unveiled a brand new design for an electrical car.
Renault joined a number of different main French corporations together with Air France-KLM in acquiring state-backed loans, as a part of a disaster programme set in movement in France to assist companies deal with the pandemic.Its credit score facility is loaned by industrial banks however carries a assure from the French authorities of as much as 90% of the quantity borrowed.
Monetary chief Clotilde Delbos added that the mortgage was because of mature at year-end, and that it will have been “a little bit of a disgrace” to not make use of it.
“We’ve an excellent degree of liquidity, there isn’t any liquidity drawback, it is simply good monetary administration,” Delbos mentioned.