Volvo to Complete Purchase of Nissan Diesel

24 March 2007

Volvo has received roughly 96% of the shares outstanding of Nissan Diesel in its acquisition bid. (Earlier post.) The company will pay a total of SEK 7.4 billion (US$ 1.1 billion) for the shares.

With more than the two-thirds shares required, Volvo will now initiate a process to redeem the remaining shares in Nissan Diesel since the company has received more than the two thirds of the shares and votes required for this in accordance with Japanese law.

Nissan Diesel will be consolidated in the balance sheet of the Volvo Group as of the first quarter of 2007. Sales and earnings will be reported as of the interim report for the second quarter. Operations within Nissan Diesel will be reported within the Trucks segment.