Suzuki has announced they have acquired VW’s shares in the Japanese marque for 460.3 billion yen ($3.8 billion).
Suzuki has announced they have acquired VW's shares in the Japanese marque for 460.3 billion yen ($3.8 billion).
The legal saga between Suzuki and Volkswagen is now almost over as after last month's announcement to part ways, Suzuki has now bought back the 111.6 million shares held by Volkswagen for the equivalent of about $3.8 billion, according to a Tokyo Stock Exchange filing. Following this transaction, Suzuki chairman Osamu Suzuki declared the company will be more careful in the future regarding other possible partnerships with automakers in order to avoid such delicate corporate problems.
For those who are unfamiliar with the situation, Volkswagen and Suzuki joined forces to work on small and frugal cars for emerging markets, with Suzuki obtaining access to VW technology while the German brand was supposed to improve its awareness in the much important Indian market with the help of Suzuki. However, the partnership went south in 2011 when Suzuki signed a deal with Fiat to get diesel engines and as a consequence of this new deal, both Suzuki and VW started accusing each other of breaching the contract.