Renault-Nissan must wait until the end of April for decision on AvtoVAZ deal
TOGLIATTI, Russia -- The sale of a controlling stake in Russia's largest carmaker AvtoVAZ to Renault-Nissan will be postponed until at least the end of April, said the head of Russian Technologies, which holds a nearly 30 percent stake in AvtoVAZ.
"In the end of the month I'm planning to visit Paris to meet [Renault-Nissan CEO Carlos] Ghosn and decide," Russian Technologies' Sergei Chemezov told reporters.
Renault bought a 25 percent stake for $1 billion in late 2008, but shortly afterwards the financial crisis destroyed sales and forced AvtoVAZ to be bailed out by the government.
Renault and its Japanese partner Nissan have been in talks with AvtoVAZ's shareholders to take a majority stake in the maker of Lada cars since 2011. The alliance has been discussing taking effective control of AvtoVAZ by doubling the 25 percent held by Renault.
Initially completion of the deal was expected by the end of last year. Ghosn then said in February that a deal was expected to be reached "in coming weeks.''
Renault and Nissan have already agreed to start building their own models at AvtoVAZ's sprawling central Russian plant and have the blessing of Prime Minister Vladimir Putin to take full control.
The automakers will produce cars from a joint platform used for Renault's Dacia Sandero and Logan models, Renault said last month.
Sources: Reuters and Automotive News EuropeContact Automotive News