PARIS (Reuters) - French carmaker Renault SA and its Japanese partner Nissan Motor Corp. said on Monday they were prepared to start talks with General Motors Corp. about forming an alliance that would create the world's largest auto group.

Renault's board met to discuss a proposal made by billionaire investor Kirk Kerkorian intended to prod GM into consideration of an expanded alliance with Renault and its partner Nissan.

"Exploratory discussions with General Motors, concerning an alliance, could start if General Motors Corporation makes the proposal," Renault said in a statement.

A GM spokeswoman was not immediately available. The automaker's board met on Friday to consider the Kerkorian proposal, saying it would take the matter "under advisement."

Carlos Ghosn, chief executive at both Renault and Nissan, also was authorized by Nissan's board to pursue discussions about an alliance.

Renault has a controlling 44-percent stake in Nissan. The French state has a 15.33 percent stake in Renault.

Kerkorian owns 10 percent of GM, and analysts have said his attempt to broker a deal between the three parties increased the pressure on GM's current Chief Executive Rick Wagoner and opened the door to a greater role for Ghosn, who is credited with driving Nissan's revival from 1999.

The latest moves came as GM posted a 26-percent decline in June auto sales from a year earlier in the U.S. market, where the automaker has been struggling to shore up its market share as it cuts 30,000 jobs and shutters a dozen factories.