Home / BusinessNews / Exclusive: VW in talks to buy stake in Russia’s GAZ – sources

Exclusive: VW in talks to buy stake in Russia’s GAZ – sources



MOSCOW (Reuters) – German carmaker Volkswagen (VOWG_p.DE) is in talks to buy a stake in GAZ (GAZA.MM), a Russian manufacturer of light commercial vehicles (LCV), five sources familiar with the talks told Reuters.

The Volkswagen logo is shown on an I.D. concept vehicle at the Los Angeles Auto Show in Los Angeles, California, U.S., November 30, 2017. REUTERS/Mike Blake

It was not immediately clear how big a stake is being discussed or the value of the deal.

GAZ is a part of the Basic Element group that holds the assets of Russian businessman Oleg Deripaska. Both GAZ and Basic Element declined to comment, while a spokesman at VW headquarters said he does not comment on market speculation.

“There are talks, they are trying to reach an agreement. Deripaska has long been looking for a partner and VW does not have a Russian partner,” one well-placed industry source said.

Another well-connected car industry source, two financial market sources and another person familiar with the matter also said talks were under way.

One of the sources said that a decision on the size of the proposed stake sale has yet to be made.

A source close to VW also confirmed that talks were in progress but said the possibility of the German group taking a stake in GAZ is not the only mater under consideration.

Addional reporting by Katya Golubkova, Polina Devitt and Jack Stubbs in Moscow and Andreas Cremer in Berlin; Editing by David Goodman

Our Standards:The Thomson Reuters Trust Principles.

About admin

Check Also

Ryanair to recognize unions in historic shift to stop strike

DUBLIN (Reuters) – Ryanair on Friday announced that it would recognize pilot unions for the …

Leave a Reply

Your email address will not be published. Required fields are marked *