AvtoVaz might acquire UAG by end of Oct - UAG's Kulgan
IZHEVSK. Oct 25 (Interfax) - OJSC AvtoVaz might acquire LLC United Automobile Group (UAG, a subsidiary of LLC Sberbank Capital), which purchased OJSC IzhAvto's property during its bankruptcy, sometime this week, UAG's general director, Igor Kulgan, told Interfax on Tuesday.
"[The transaction] should be closed this week," Kulgan said, adding that "the price has been agreed upon".
He did not provide the cost of the transaction.
Kulgan was quoted at the start of August as saying that AvtoVaz might buy UAG in two stages: initially, the purchase of a 51% stake and then the remaining 49%. The acquisition cost for UAC was a point of discussion then between Russian Technologies, AvtoVaz and Sberbank . "The upper limit is 3 billion rubles," Kulgan then said. He added that the transaction would commence after UAG had purchased OJSC IzhAvto's production assets in September.
It was earlier reported that on Tuesday, October 25, that Russia's Federal Antimonopoly Service (FAS) approved OJSC AvtoVaz's application to acquire a 100% stake in UAG.