Renault will help near-bankrupt AvtoVAZ financially as part of the Lada carmaker’s shake-up, but it won’t be anywhere near as much as Moscow has asked for, chief operating officer Patrick Pelata said.
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“They [Moscow] would love us to pour in lots of money because Avtovaz needs money but we don’t have a lot of money – we told them we cannot put more money in the joint venture,” Pelata said at the Reuters Autos Summit on Monday.
But he added that the group was backing a shake-up of the supply base and assembly platforms with an undisclosed financial sum – adding to the EUR650m (US$958.1m) it spent on a 25% stake in the Lada maker in the winter of 2007/08.
“We’re going to pay our share… It’s not small money but it’s not half a billion,” he said, adding that work on the supply base “had already started”.
