Nissan Motor shareholders rejected the reappointment of Motoo Nagai to the board, ending the tenure of an influential outside director after he lost the support of key stakeholder Renault, following a rare public standoff at Japan¡¯s typically staid annual meetings.

CEO Ivan Espinosa announced the results at Nissan¡¯s annual meeting on Tuesday?and confirmed that 11 other directors had reached the majority needed to be appointed, or reappointed.

Renault, which holds 15% of voting rights, had planned to abstain from voting for Nagai, people with knowledge of its plans had said. Nagai, a former banker, played a pivotal role during the 2018 ouster of former Chairperson Carlos Ghosn and the subsequent appointment of executives.

Nagai, 72, supported the ultimately unsuccessful merger talks between Nissan and Honda Motor in early 2025?and spent his career at Mizuho Financial Group, Nissan¡¯s top creditor. He¡¯s the only director serving on the nomination, compensation and audit committees, giving him sway over the appointment of executives at Nissan. The ex-banker¡¯s ouster represents Renault¡¯s biggest power move at Nissan since ceding much of its influence over the Japanese carmaker in 2023.

Renault¡¯s concerns over Nagai also focused on whether he could be considered an independent director, given his long association with Nissan, as he joined as statutory auditor in 2014 and became a board member in 2019.

New nominee Junichi Shinbo, also a former Mizuho banker, was voted in by shareholders at the meeting. Renault had also planned to abstain voting for him, according to the people, who asked not to be identified discussing internal matters. Their links to the bank, as well as Nagai¡¯s long tenure at Nissan, brought their independence into question, they added.

Renault owns roughly 36% of Nissan¡¯s stock but exercises fewer voting rights following a renegotiated alliance agreement between the companies in 2023. Renault became a major stakeholder when it saved the carmaker from bankruptcy more than a quarter century ago, sending in Ghosn, who eventually became CEO of both companies.

Several disgruntled shareholders voiced their disapproval at this year¡¯s meeting, taking jabs at Nissan¡¯s executives, pointing to the dismal performance of its share price and a lack of compelling models. Nissan¡¯s stock is down 44% since the end of 2023.

One investor openly questioned the independence of Nagai and Shinbo, and opposed the reappointment of Espinosa in a motion that was ultimately denied on legal grounds.

¡°The biggest issue for shareholders attending this meeting is the stock price,¡± the shareholder said. ¡°Most shareholders here are extremely unhappy.¡±

Nissan has been struggling to regain its footing, having posted net losses for the past two fiscal years, although it is forecasting a return to profit for the current period through March...