French automaker Renault announced the sale of its assets in Russia as it formally left the country after the invasion of Ukraine. The assets are worth €2.195 billion ($2.29 billion), according to Renault.
The company’s directors unanimously agreed to the sale of Renault to the city of Moscow and its majority stake in Russian automaker AVTOVAZ to NAMI (Central Institute for Research and Development of Automobiles and Engines), according to a statement released on Monday. fair (16).
“We made a difficult but necessary decision. And we are making a responsible choice towards our 45,000 employees in Russia,” Renault said in a statement.
The sale of its stake in AVTOVAZ gives Renault the option to buy back its stake within six years, according to the statement.
Writing on his blog, Moscow Mayor Sergei Sobyanin said the city had decided to take ownership of the factory and “resume production of passenger cars under the historic Moskvich brand”.
“We will try to keep most of the team working directly at the factory and with its subcontractors,” wrote Sobyanin, promising a future shift to electric car production.
Moskvich was a Soviet-era automaker of ordinary passenger vehicles.
Russia was a key player in Renault’s global empire before the start of the war.
With 482,264 cars sold in 2021, Russia was the second most important market for Renault, behind only France in terms of sales volume, according to the group’s 2021 sales results.
Source: CNN Brasil
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