Today, Renault has initiated the sale of its entire stake in the Series A shares of AB Volvo representing 6.5% of the share capital and 17.2% of the voting rights. After this transaction is completed, the Renault group will no longer hold any shares in AB Volvo.
This transaction will complete Renault’s exit of AB Volvo’s capital, which was initiated on October 6, 2010 with the sale by Renault of its entire stake in Series B shares which represented at that time 14.9% of the share capital and 3.8% of the voting rights of AB Volvo.
The sale of the block of 138,604,945 Series A shares is made via an accelerated book building and a private placement in Sweden and rest of the world.
The funds raised through this sale will strengthen the financial stability of the Renault group and will be allocated in priority to:
- the reduction of the net automotive debt of the Renault group;
- investments decided within the Plan, notably in France that will represent around 40% of industrial investments of the Group in 2013;
- strategic international investments of the Group, notably in Russia and China, which will constitute new opportunities for growth that will strengthen the Group.
These investments are required for the preparation of the Group’s future in order to follow the rejuvenation program of the range, strengthen the competitiveness of its European plants and foster the international expansion of Renault.
This announcement is for information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any securities and the offer of Volvo shares does not constitute a public offering in any jurisdiction, including France and Sweden.