Renault-Nissan expects to get control of Avtovaz in 2011
PARIS. Feb 10 (Interfax) - Renault-Nissan expects to increase its stake in Russia's Avtovaz to controlling this year, the alliance's chief, Carlos Ghosn, told reporters in Paris.
"Ghosn said the alliance was discussing the options with other Avtovaz shareholders. He said he could not say precisely when this would take place, but that the alliance hoped it would be in 2011.
He said a proposal to increase the stake to controlling came from the Russian government at the end of last year.
The transaction could be for cash or shares, Ghosn said.
Renault currently owns 25% plus one share in Avtovaz, which is Russia's biggest car producer. A Renault spokesman said the involvement in the Russian company brought it EUR21 million losses last year as a whole, but gains of EUR35 million in H2 2010.