Sale to Russian investor
Mercedes-Benz turns its back on Russia
10/26/2022 11:54 am
After Nissan and Renault, the car manufacturer Mercedes-Benz is now also selling off its operations in Russia. A Russian investor is to take over the business. The company does not expect any financial consequences.
The car manufacturer Mercedes-Benz sells its Russian business completely. The sales company and the car assembly plant with more than 1000 employees are to be sold to the Russian investor Avtodom, the Dax group announced. CFO Harald Wilhelm added that this would not have any additional financial consequences.
In the first half of the year, the stop of business with Russia in response to the Ukraine war and the associated EU sanctions led to an expense of 700 million euros for the Dax group. Since there are no other effects, Mercedes expects neither depreciation nor income from the sale.
The French car company Renault recently sold its Russian business for one ruble. His partner Nissan from Japan gave the Russian activities to a Russian state company for one euro and had to write off the equivalent of around 685 million euros. Nissan and Renault negotiated a buyback clause within six years.
The Russian newspaper “Vedomosti” reported, citing insiders, that Mercedes-Benz could also agree on such a clause. According to data from the European Business Association AEB, around 9,500 new cars from the brand with the star were delivered in Russia from January to September. According to the company, these are mainly vehicles from dealer stocks, since Mercedes stopped its own sales in March.