BERLIN — Volkswagen Group has accomplished the sale of its Kaluga manufacturing plant in Russia and its native subsidiaries, the automaker mentioned on Friday, ending months of wrangling with Russian authorities over the deal.
VW has offered its shares in Volkswagen Group Rus LLC to Artwork-Finance LLC, which is supported by auto seller group Avilon, VW mentioned in a press release.
The transaction contains the VW’s manufacturing services in Kaluga, its importer construction comprising the distribution and aftersales models and its warehousing and monetary companies actions, the assertion added.
No particulars got on the value. Based on a supply accustomed to the matter, the deal is valued at 125 million euros ($138 million).
Work on the plant in Kaluga, south of Moscow, has been furloughed since March 2022 attributable to Russia’s invasion of Ukraine, which prompted Western international locations to sanction Moscow resulting in a breakdown in provide chains.
The manufacturing facility has a manufacturing capability of 225,000 autos a 12 months and employed greater than 4,000 individuals.