"AVTOVAZ" is going to lend to Renault-Nissan. What?

16 August 2018

Everything became upside down

we have been accustomed to the fact that "AVTOVAZ" is a kind of monetary black hole that the state can endlessly invest in, provide loans and subsidies, but he will always be small. Although in the first half, the company finally profitable obtained revenue can not be compared with the size of the generated over the past decade of losses.

But now came the rather unusual news: "AVTOVAZ" is not itself to lend money and provide credit. Yes not aby whom, and parent Renault-Nissan Alliance. Rather, financial companies Renault Finance, which is 100% subsidiary of Renault. French brand, in turn, through Alliance Rostec Auto B. V., a joint venture with state Corporation rostec, has a 51 percent share of the domestic manufacturer. About the unusual financial scheme write "Vedomosti".

the loan Amount can be up to 10 billion rubles. Deadline: March 2023. While the company did not disclose the purpose of the loan.

citing its own sources, "Vedomosti" reported that the money will go to the formation of the Deposit at subsidiary Bank Renault, which will allow you to perform calculations between AVTOVAZ and Renault. The Russian company buys from the selected Renault car parts and assembles vehicles for Renault-Nissan Alliance. The analyst of "VTB capital" Vladimir Bespalov has confirmed that such a scheme of movement of Finance can be handy for cross border payments.

In the first six months of 2018 "AVTOVAZ" received 3.1 billion rubles of net profit. The company entered into a plus for the first time in many years. The last time the company pleased investors in 2012, when declared 29.2 billion rubles of profit.

however, more recently, the loss of the Russian giant grow like a snowball. In 2015, the company received a record 73.9 billion rubles of net loss under IFRS (international financial reporting standards). After that was a plan to recapitalize and optimize costs. It is assumed that it is coupled with positive dynamics of sales has enabled AVTOVAZ to become profitable.