|05-03-2012, 03:55 PM||#1|
Join Date: May 2009
Thanked 5,801 Times in 2,102 Posts
Disliked 207 Times in 172 Posts
Renault-Nissan agree to buy Russian car maker
MOSCOW (AP) — Car makers Renault and Nissan on Thursday signed a nonbinding agreement to buy a controlling stake in Russian car producer AvtoVAZ. But the deal will be complete only in 2014, later than some had expected, causing shares in the Russian company to slide.
Renault and Nissan, who operate as an alliance, said in a joint statement that they will invest $750 million to take a 67 percent share in a joint venture with state-owned corporation Russian Technologies. The venture will hold 74 percent in AvtoVAZ. Renault will pay $300 million and Nissan $450 million.
AvtoVAZ shares dropped 7 percent, however, on news that payments on the takeover will be completed by 2014, not as quickly as some industry analysts had predicted.
Ghosn on Thursday called the deal "the latest step in an expanding collaboration that helps modernize the leader of the Russian auto industry."
AvtoVAZ's iconic Lada brand has dominated car sales in Russia for decades. But its market share has been shrinking in recent years as rising incomes have allowed Russians to choose slightly more expensive but more reliable foreign brands. Lada cars are increasingly seen as the cheapest option for those who cannot afford even the cheapest foreign vehicle.
Renault purchased 25 percent of AvtoVAZ in 2008 and has since been helping the struggling car maker with technology and cash. The 2008 economic downturn hurt AvtoVAZ sales, forcing the government to bail it out as a major employer in the Volga river town of Togliatti.
Renault-Nissan will raise its shareholding by acquiring a 25 percent from Moscow-based investment bank Troika Dialog. The French-Japanese group said that over the coming months it will perform financial, legal and environmental due diligence at the plant in Togliatti.
Full article here.
"Sir, we're surrounded!" "Good! We can attack in any direction!"
"Io credo ch'ei credette ch'io credesse." - "I think perhaps he thought that I was thinking."
"I used to be indecisive, but now I'm not sure."
|05-03-2012, 04:05 PM||#2|
Join Date: May 2009
Thanked 2,540 Times in 1,426 Posts
Disliked 40 Times in 32 Posts
so a japanese man, a russian, and a french man walk into a bar...
|05-03-2012, 04:56 PM||#3|
Join Date: Jun 2009
Thanked 6,107 Times in 3,530 Posts
Disliked 128 Times in 111 Posts
|Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)|
|Thread||Thread Starter||Forum||Replies||Last Post|
|1996 Nissan Maxima 5sp Help||zaqwsx||Cars & Bikes||28||01-27-2012 01:58 PM|
|Which is the best cell phone maker?||de.das.dude||Phones, MP3 Players & Gadgets||13||09-02-2010 08:19 PM|
|My Nissan Pulsar N14 SSS Work in progress||LiveOrDie||Cars & Bikes||27||05-19-2010 07:43 PM|
|Signature maker...||stefanels||Image Editing||16||05-09-2010 09:52 AM|
|Car Phone Charger - buy original or not?||Black Panther||Phones, MP3 Players & Gadgets||1||07-08-2009 04:12 PM|