The head of Volkswagen Group’s Seat brand- Luca de Meo, is stepping down with immediate effect.
De Meo will be replaced by the brand’s finance chief- Carsten Isensee, until further notice, Seat said in a statement on Tuesday.
De Meo will remain with VW Group for the time being, Seat said.
In a separate statement, VW Group said de Meo has had his duties as chief executive of Seat revoked at his own request and by mutual agreement.
His resignation comes amid media reports that de Meo has been offered the CEO job at Renault.
Renault has said it is drawing up a shortlist of candidates to replace Thierry Bollore, who was ousted in mid-October. The French automaker is currently led by finance chief Clotilde Delbos on an interim basis.
De Meo is a contender for the Renault CEO post, but a stringent non-compete clause in his contract is proving to be a hurdle in discussions about a move to Paris, one source close to the matter told Reuters.
“There is no agreement yet on how long a potential cooling-off period should be,” another source said, commenting on how long de Meo would have to delay his start at Renault, given his intimate knowledge of VW Group’s strategy.
De Meo, who was appointed president of Seat in 2015, could not be reached for comment.
De Meo, an Italian executive, started his career at Renault before working for Toyota and Fiat.
Renault declined to comment.
De Meo’s move comes as Renault tries to resolve management turmoil triggered by the arrest of former Renault-Nissan alliance boss Carlos Ghosn in Japan a year ago on financial misconduct charges which he denies.
