STORY: Hyundai will take a massive hit on selling its plant in Russia.
The South Korean auto giant said Tuesday (December 19) it plans to give up the facility in St. Petersburg for $77.67.
Hyundai said it would take a near $219.2 million loss on the sale.
Tuesday’s move makes it the latest global automaker to sell Russian assets since Moscow invaded Ukraine almost two years ago.
Operations were suspended at the plant in March last year.
Hyundai said it was seeking to transfer its assets in the facility to Russia’s Art-Finance.
It further stated the deal includes a buyback option and plans to complete the sale by December 28.
Hyundai Motor is following the path of some other major carmakers.
Many sold their assets in Russia for a nominal fee and included buyback options that could one day allow them to return.
In May, Germany’s Volkswagen sold its shares in its Russian assets to Art-Finance, which is supported by the autodealer group Avilon.
Source link
