Renault Sells Its 6.5% Stake in Volvo
French automaker Renault SA sold its remaining 6.5% stake in Volvo AB for about $1.92 billion, ending an 11-year run as Volvo’s largest owner, Bloomberg reported Thursday.
Renault sold its holdings at about $13.80 a share — about 3.8% below Wednesday’s closing price of about $14.40 per share. Volvo, Gothenberg, Sweden, trades it shares in Swedish kronor.
Renault sold the shares to reduce its debt and invest in France, Russia and China, the company said in a statement.
It had sold a 14.9% stake in Volvo in 2010 for about $4 billion. Renault acquired its holding in 2001, when it sold its heavy-truck unit to Volvo, Bloomberg reported.
Volvo AB is the parent company of Volvo Trucks and Mack Trucks, both of which make heavy-duty trucks in North America.
A Volvo spokesman in Sweden told Bloomberg the company was publicly traded and had no comment.
Industrivaerden AB, which was Volvo’s second-largest shareholder before the sale, declined to say whether the company bought parts of Renault’s stake, Bloomberg reported.
