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New vehicle models seek traction following tumultuous leadership upheaval and strained relations with French affiliate, Renault SA.

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For Nissan, the talks could represent a chance to reset a structure that many executives at the Japanese firm have seen as unbalanced, given the way vehicle development work between the two carmakers has progressed in recent years. Nissan may consider raising funds to buy back the shares held by Renault, one person told Reuters. Renault and Nissan declined comment beyond their statement. Seiji Sugiura, a senior analyst at Tokai Tokyo Research Institute, said he did not expect Nissan would have trouble financing a buyback on that scale.

Nissan may need to raise funds to buy the shares back from Renault, the source added. The source said Mitsubishi , another partner in the alliance, was also considering taking a single-digit percent stake in Renault's EV unit. Its launch was delayed by about a year because of shortages of semiconductors, Nissan has said.

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