Valeo: divests transmission systems business in Russia
(CercleFinance.com) - Valeo announces the signature of an agreement to sell to NPK Avtopribor, the entire production assets of its transmission systems business in Russia, as part of its decision to divest production activities in this country.
This transaction's completion is subject to obtaining the necessary regulatory approvals. Note that this will enable the 158 Russian employees in this business to keep their jobs.
The sale will be carried out without any capital gains or losses. In addition, the French automotive supplier will have a 10-year buyback option, exercisable from the sixth year onwards.
Valeo's sales in Russia previously represented less than 1% of group sales, i.e. very little, and the related assets were written down in 2022 for a total of E43m.
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