Volkswagen has said it has obtained regulatory approvals to take a majority voting stake in Scania.
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“The majority voting stake is expected to be acquired on July 22, in a deal that will cost VW around 2.8 billion euros,” a statement said.
The German auto giant said in March that it had won control of Scania, which could eventually lead to its merger with German rival MAN, in which VW is also a leading shareholder.
EU officials had approved the deal on June 13, but VW still needed various national authorities to stamp it as well.
VW will increase its share of voting rights in Scania from 37.98 percent to 68.60 percent, while its shareholding is to rise from 20.89 percent to 37.73 percent, it added.
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By GlobalDataChairman Martin Winterkorn was quoted as saying: “We are delighted that Scania will now become the group’s ninth strong brand.”
“The share acquisition underlines the importance that we attribute to the stake in Scania,” said VW chairman Martin Winterkorn in the statement. “Scania is a strong premium brand which has a prosperous future.”
VW would fully consolidate Scania in the second half of the year, the statement said.
Scania management has resisted a takeover by MAN, but Volkswagen is keen to see a three-way merger of the two truck companies with its own South American truck operations.
Earlier this year, Volkswagen said it would keep Scania as a separate premium brand and does not foresee any structural changes that would adversely affect employees. It said the continuity of Scania’s management team has always been a key priority.
