It is planned that Renault’s pending strategic cooperation deal with AvtoVAZ will be signed on Friday (February 29) ahead of the Geneva Show. A Renault spokeswoman told just-auto, “If all goes well it will be signed on Friday. More details will be released then.”
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Under the agreement it is expected that Renault will take a 25% stake in AvtoVAZ.
AvtoVAZ chose Renault as a strategic partner ahead of other OEMs late last year. The partnership will see the renewal of the product range of AvtoVAZ and the sharing of technologies and know-how between Renault and AvtoVAZ.
The firms have not disclosed the value of the deal.
“The sum will be disclosed at the signing,” a source told Reuters.
The signing will make Renault–Nissan-AvtoVAZ Alliance the third largest vehicle manufacturer in the world.
The resulting expanded Alliance (which also includes the Romanian Dacia brand and Samsung in South Korea) would produce 7m vehicles a year, leapfrogging Ford into the number three position behind General Motors and Toyota.
Renault’s chief executive officer Carlos Ghosn has said: “The bigger you are, the more you can invest and the more you can utilise in terms of common vehicle platforms, engines and transmissions, as well as production facilities and purchasing power, all of which makes you more efficient.”
See also: HOT TOPIC: Renault adds AvtoVAZ to alliance
