Renault-Nissan aims to increase its stake in Avtovaz, giving the alliance majority control over Russia's largest automaker. The deal will likely see Renault and Nissan vehicles manufactured beside Lada models in the near future. Avtovaz recently finished a new production facility in Togliatti where the three brands plan to produce up to 1.6 million units per year. That move would make the Togliatti plant one of the largest automotive manufacturing facilities in the world. The companies expect the agreement to become final by 2014.

Technically, the deal is structured under a joint venture between Renault-Nissan and Russian Technologies, a state-owned corporation. Under a recently-signed memorandum of understanding, Renault-Nissan will own 67.13 percent of the venture, which will own 74.5 percent of Avtovaz. The alliance already holds a 25 percent stake in Avtovaz.

Under the MOU, Renault will invest around $300 million in the joint venture, while Nissan will put in $450 million.


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  • 13 Comments
      brianXL
      • 2 Years Ago
      How long do you think it will be before the "state" decides they have had enough of capitalism and they take back their share? Probably right after the money runs out.
        Drakkon
        • 2 Years Ago
        @brianXL
        Wow, Brian, somebody here really likes Russia. Rose colored glasses?
      Drakkon
      • 2 Years Ago
      Nissan-Renault make a move to have their companies striped away from them 10 years from now when they piss off some oligarch.
      zzzzzz
      • 2 Years Ago
      It's a new movie, Mr. Bean Goes To Russia!!!
      Egon
      • 2 Years Ago
      Is that a picture of Carlos Ghosn or Mr. Bean?
      QCRamAir
      • 2 Years Ago
      You guys beat me to it. "Mr. Bean" was the first thing that came to mind when I saw the pic lol.
      Drivesolo
      • 2 Years Ago
      And so begins Carlos Ghosn's take over of the automotive industry. Today Avotaz., tomorrow GM, Toyota and VW.
      Dennis Baskov
      • 2 Years Ago
      Well at least Avtovaz will have a future. Last time I checked there cars were outdated in design and a bit behind in quality with the rest of the manufacturers. Although if I was Carlos Ghosn I would worry that the Russian government won't do him like they did with American oil companies not long ago.
      wanderlust
      • 2 Years Ago
      lmfao that picture is priceless, TY autoblog!
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