AFP, Moscow :
Russia’s biggest carmaker Avtovaz on Monday announced that it is looking to raise some $1.3 billion as it struggles to battle back from slumping sales amid the country’s economic crisis.
Avtovaz, which is majority-owned by the Renault-Nissan Alliance, said it would “consider a matter of an open subscription for shares” at an extraordinary shareholder meeting on October 10.
“This will become the first key step in the implementation of an overall recapitalisation plan of the company for approximately RUB 85 billion ($1.3 billion, 1.1 billion euros),” the statement said.
A first round of share sales worth 25 billion rubles is pencilled in to take place in December and Renault has said it is ready to stump up the cash.
Russia’s biggest carmaker Avtovaz on Monday announced that it is looking to raise some $1.3 billion as it struggles to battle back from slumping sales amid the country’s economic crisis.
Avtovaz, which is majority-owned by the Renault-Nissan Alliance, said it would “consider a matter of an open subscription for shares” at an extraordinary shareholder meeting on October 10.
“This will become the first key step in the implementation of an overall recapitalisation plan of the company for approximately RUB 85 billion ($1.3 billion, 1.1 billion euros),” the statement said.
A first round of share sales worth 25 billion rubles is pencilled in to take place in December and Renault has said it is ready to stump up the cash.
