Valeo Group | 31 Oct, 2023 | 1 min

Valeo announces the sale of its thermal systems business in Russia to NPK Avtopribor

As part of its decision to divest its production activities in Russia, Valeo announced today that it has signed an agreement with NPK Avtopribor for the sale of all of Valeo's production assets of its Thermal Systems business in Russia.

Completion of this transaction is subject to obtaining the necessary regulatory approvals. It will enable the 124 Russian employees in this business to keep their jobs. This sale will be carried out without any capital gain or loss. Valeo will also have a buyback option for 10 years, which can be activated from the 6th year.

This follows the announcement of the sale of the transmission systems business on 18 August 2023. Once these two operations have been completed, Valeo will no longer have any industrial activities in Russia. Valeo’s sales in Russia previously represented less than 1% of Group sales, and the related assets were depreciated in 2022 for a total amount of 43 million euros.