Advertisement
Singapore markets closed

  • Straits Times Index

    3,280.10
    -7.65 (-0.23%)
     

  • Nikkei

    37,934.76
    +306.28 (+0.81%)
     

  • Hang Seng

    17,651.15
    +366.61 (+2.12%)
     

  • FTSE 100

    8,139.83
    +60.97 (+0.75%)
     

  • Bitcoin USD

    62,964.80
    -1,266.36 (-1.97%)
     

  • CMC Crypto 200

    1,304.48
    -92.06 (-6.59%)
     

  • S&P 500

    5,099.96
    +51.54 (+1.02%)
     

  • Dow

    38,239.66
    +153.86 (+0.40%)
     

  • Nasdaq

    15,927.90
    +316.14 (+2.03%)
     

  • Gold

    2,349.60
    +7.10 (+0.30%)
     

  • Crude Oil

    83.66
    +0.09 (+0.11%)
     

  • 10-Yr Bond

    4.6690
    -0.0370 (-0.79%)
     

  • FTSE Bursa Malaysia

    1,575.16
    +5.91 (+0.38%)
     

  • Jakarta Composite Index

    7,036.08
    -119.22 (-1.67%)
     

  • PSE Index

    6,628.75
    +53.87 (+0.82%)
     

Volvo selling remaining stake in Eicher for $278 million

Reuters
A Volvo logo is seen during preparations for the 2014 LA Auto Show in Los Angeles, California November 18, 2014. REUTERS/Lucy Nicholson/Files

HONG KONG/MUMBAI (Reuters) - Sweden's Volvo AB (VOLVb.ST) is selling 1 million shares in Indian auto firm Eicher Motors (EICH.NS) in a deal valued at $278 million, according to a term sheet seen by IFR.

Volvo is offering 1,00,5610 shares in a price range of 17,190-18,190 rupees in an open market sale that would result in the Swedish truck maker exiting its investment in Eicher.

Eicher shares closed at 18,191.15 on Wednesday.

A Volvo spokeswoman and Eicher spokesman declined to comment.

In March, Volvo had sold 1.27 million Eicher shares for around 2.5 billion Swedish crowns ($296.05 million).

Sweden's Volvo is under pressure to demonstrate the benefits of years of cost cuts and has in addition to major staff cuts also sold off non-core assets in recent years, including its aerospace division in 2012.

ADVERTISEMENT

Volvo bought the stake in Eicher in 2008 as part of a deal under which the Swedish company also set up a separate truck and bus making joint venture with Eicher in India.

(Reporting by Fiona Lau for IFR in Hong Kong; Additional reporting by Johannes Hellstrom in Stockholm and Aditi Shah in New Delhi, editing by David Evans)