December 20, 2023 08:06
Hyundai plans to sell its plant in Russia for a nominal $77.67, a company official said on Tuesday, making it the latest global automaker to sell Russian assets since the outbreak of the war in Ukraine.
The automaker, in a regulatory filing, said it would take a $219.19 million loss on selling the plant, in which operations have been suspended since March 2022.
The company said it was seeking to transfer its assets in the plant in St. Petersburg to Russia's Art-Finance and include a buyback option, adding that it plans to complete the deal by Dec. 28.
A Hyundai staffer said it would receive $110.95 in total for the sale of all its Russian assets.
Hyundai and its affiliate Kia were among the top three selling brands in Russia before the war. Since then, global players have pulled out with Chinese brands moving in to replace them.
Hyundai is following other major automakers that have sold their assets in Russia for a nominal fee and included buyback options that could one day allow them to return.
In May, Volkswagen sold its shares in its Russian assets to Art-Finance, which is supported by the autodealer group Avilon.
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