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French automaker Renault would need to reinvest 112.5 billion rubles ($1.29 billion) to regain its former Russian assets, the head of Russia’s top manufacturer, Avtovaz, said Monday.
Renault, which had the largest exposure to the Russian market among Western carmakers, suspended operations at its Moscow plant in March 2022 following Russia’s invasion of Ukraine.
Two months later, the company sold its majority stake in Avtovaz for a symbolic 1 ruble, with a six-year buyback option, as part of a broader Western corporate exodus from Russia.
Speculation about a potential return has intensified amid efforts by U.S. President Donald Trump and Russian President Vladimir Putin to improve bilateral ties. Renault CEO Luca de Meo said last week that repurchasing Avtovaz was an “option.”
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Avtovaz CEO Maxim Sokolov told reporters that Renault’s buyback option requires the company to reimburse state and corporate investments made in its absence, according to Interfax.
He said Avtovaz has invested 67.5 billion rubles ($779 million) between 2023 and 2024 and plans to invest an additional 45 billion rubles ($520 million) in 2025 — bringing the total amount Renault would need to pay to $1.29 billion.
“The entry price will not exactly equal the exit price of 1 ruble,” Sokolov said.
Renault previously recorded a $2.29 billion write-down after suspending its Russian operations.
Following its exit, Renault’s 68% stake in Avtovaz was acquired by the Central Scientific Research Automobile and Automotive Engine Institute (NAMI), a subsidiary of Russia’s Ministry of Trade and Industry, while its Moscow plant was sold to the city.
Moscow Mayor Sergei Sobyanin last week dismissed the idea of Renault’s return, saying the automaker was “unlikely to get anything.”
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