GAZ Group has acquired more than 93% of the voting shares of AutoDiesel

GAZ Group has acquired more than 93% of the voting shares of AutoDiesel

RNS – GAZ Group has become the owner of 93.64% of AutoDiesel voting shares, according to company documents. Rostec’s plans to withdraw from the capital of AutoDiesel Engine Plant (YaMZ) in Yaroslavl had been reported previously, where it had 30.99% shares and GAZ, belonging to Russian Machines Holding, 62.65%. Rostec will receive almost 18% of the shares of the Tutaev Engine Plant in replacement for AutoDiesel shares, which will allow KAMAZ (49.9% owned by Rostec) to increase its shares up to almost 70%, as written by RNS.

“The deal has been struck as a result of our agreements with Russian Machines Holding (GAZ Group is a part of this company). Rostec and Russian Machines will optimise the asset ownership structure, preventing cross ownership. Both plants will receive the optimal structure of shareholders for the moment, which will open up new opportunities in terms of investment and development plans, production plans and programmes” – as told by a Rostec representative earlier.

As reported, KAMAZ will conduct negotiations with Chinese Weichai Power on the creation of a joint venture on the basis of Tutaev Engine Plant.

The revenues of AutoDiesel and Tutaev Engine Plant amounted to 21.4 billion rubles and 3.05 billion rubles respectively in 2016. AutoDiesel has ended the year with a 37.2 million rubles loss and Tutaev plant with a profit of 93.3 million rubles.