View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
September 10, 2009

RUSSIA: Conglomerate seeks KamAZ control

State conglomerate Russian Technologies is in talks with investment bank Troika Dialog to acquire a controlling stake in KamAZ , Russia's largest truck maker, according to Reuters.

State conglomerate Russian Technologies is in talks with investment bank Troika Dialog to acquire a controlling stake in Kamaz , Russia’s largest truck maker, according to Reuters .

Kamaz shares surged nearly 30% after business newspaper Kommersant reported that the price of the stake could exceed US$300m, nearly three times its worth at close of trade the previous day.

Russian Technologies , which has interests in aviation, defence and metals, plans to create a new automotive giant to control its stakes in Kamaz and AvtoVAZ.

Sergei Kogogin, the current chief executive of Kamaz , has agreed to head the new automotive company, said Reuters . Russian Technologies is headed by Sergei Chemezov – a close ally of Russian prime minister Vladimir Putin and already owns 37.8% of Kamaz . Should it acquire a further 13% shareholding from Troika Dialog , its stake would rise to more than 50%. Troika Dialog currently owns 44% of Kamaz .

Sources close to Kamaz shareholders told Reuters that Russian Technologies was in talks with Troika Dialog over the sale and that talks have focused on a price close to that paid by Daimler when it acquired its stake – also from Troika Dialog – in December.

Daimler paid $250m for a 10% stake. At such a price, a stake of 13% would be worth $325m, compared with a value of $110m based on Wednesday’s closing price. Daimler, which already holds a 10% share in Kamaz , has first right of refusal on the stake.

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Auto