Full sprint before IPO, Renault (RNLSY.US) sets a target of 10 billion euros for its electric vehicle department, Ampere.

French car manufacturer Renault (RNLSY.US) said that by 2025, the revenue of its electric car and software division Ampere will exceed 10 billion euros ($10.9 billion). Ampere began operating independently from its parent company on November 1 and plans to conduct an IPO in April or May next year. Ampere announced that it will launch the electric car "Legend" manufactured in Europe, with a price tag of less than 20,000 euros. Renault will hold a capital market day event for Ampere on Wednesday. Renault CEO Luca de Meo said that Ampere is a response from Europe to the fierce competition from American competitor Tesla and Chinese manufacturers in the electric vehicle market. The 56-year-old executive ambitiously valued Ampere between 8 billion and 10 billion euros, despite the market's cool reception to IPOs and concerns that selling shares will overly dilute the rights of existing shareholders. The CEO of Renault stated that he has no intention of discounting the IPO pricing of Ampere, and this listing will only be a "part" of a long-term project. Renault recently relaxed its relationship with Nissan and has the option to sell its 28.4% stake in its long-term partner. Renault recently transferred these shares to a fund to provide funding for Ampere's electric car plans instead of pursuing an IPO. Renault reiterated on Wednesday that it plans to conduct an IPO in the first half of next year. Nissan and Mitsubishi will jointly invest up to 800 million euros in Ampere, and Qualcomm is also considering investment. Renault CFO Thierry Pieton stated that if Ampere's IPO does not proceed, Renault may consider other financing options, but going public is still the main plan currently.