General Motors came out of a joint venture with Russia's AVTOVAZ
AVTOVAZ signed an agreement with General Motors about to purchase 50% of shares of the Tolyatti GM-AVTOVAZ joint venture with the American company. The joint venture will become 100% affiliated company of the group of AVTOVAZ. The parties did not disclose financial details of the transaction.
under the agreement, the plant, owned by SP during a certain period of time will continue to produce and sell vehicles under the Chevrolet NIVA brand, and in the future the car will receive badges LADA. No changes for the employees of both companies are planned. Existing contracts with suppliers and dealerships NIVA remain unchanged during the transitional period. Also in the future company GM-AVTOVAZ will be renamed.
"I am grateful to our partners from GM for more than 18 years of fruitful cooperation. Under the agreement, AVTOVAZ will get a second classic SUV in the line of cars. Offer NIVA seamlessly complement the legendary 4x4 and will support the further development of AVTOVAZ. Historically, production processes SP are deeply connected with the main site of AVTOVAZ in Togliatti, which is a great starting point for further development with the aim of increasing the level of satisfaction of buyers of our famous NIVA. I warmly welcome all the employees of GM-AVTOVAZ, which now become part of the Group of AVTOVAZ," – said Yves Karakatsanis, President and General Director of JSC "AVTOVAZ".