Renault Sells Russia Business to State-Backed Entity

BY Benzinga
— 7:41 AM ET 05/16/2022

French automaker Renault SA (OTC:RNLSY) has agreed to sell 100% of its shares in Renault Russia to Moscow City entity and its 67.69% interest in AVTOVAZ to NAMI.
NAMI is a state-backed automotive research and development center.
The agreement allows Renault to buy back its interest in AVTOVAZ, exercisable at certain times during the next six years.
As announced in March, the company expects to record a non-cash adjustment charge amounting to the accounting value of the consolidated intangible assets, property, plant and equipment, and goodwill in Russia in the 1H22 results. As of December 31, 2021, this value amounted to E2.195 billion.
In addition, Renault confirmed its financial outlook as announced on March 23, 2022.
Price Action: RNLSY shares closed higher by 6.30% at $4.86 on Friday.

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