Japanese automaker Nissan Motor Co. and French automaker Renault SA are in the final stages of negotiating a deal to renegotiate the terms of a bilateral alliance, according to Japanese newspaper Yomiuri.

The parties are holding final discussions on reducing Renault’s stake in Nissan and Nissan’s investment in Renault’s electric car business, expecting to finalize the talks this month before the agreement is officially announced.

French authorities have already promised Nissan to support the renegotiation of the alliance terms, and as a result of the agreements, Renault will gradually reduce its stake in Nissan to 15%. The French company currently owns 43% of Nissan. The Japanese automaker, in turn, owns a 15% stake in Renault. The unequal shares of Renault and Nissan in each other have often been a problematic issue for Nissan’s management.

Nissan has not yet decided on the size of its investment in Renault’s car manufacturing business, Bloomberg news agency quoted a knowledgeable source as saying.

Renault Chairman Jean-Dominique Senard and CEO Luca de Meo are expected to personally attend the upcoming meeting of the alliance’s operating board in Japan later this month. Nissan’s board of directors must then formally approve the agreement before it can be publicly announced, the source notes.

The Renault-Nissan alliance was formed in 1999, with Mitsubishi joining in 2016. Together, the three companies produce more than 10% of all cars in the world. Tensions between the partners have arisen from time to time, which intensified after the arrest of the former head of the alliance Carlos Ghosn. In addition, Nissan has expressed concerns about the French government’s increasing stake in Renault, through which the authorities could influence decisions in the Japanese company.

Nissan shares rose 2.7% in Tokyo trading on Tuesday.