Volkswagen Unit Considering Full Takeover of Truck Maker Navistar
Volkswagen AG’s commercial-vehicles unit said it is considering a full takeover of Navistar International Corp., an Illinois-based truck maker valued at about $3.66 billion—an ambitious move for the German auto maker just days after naming a new chief executive.
Volkswagen Truck & Bus GmbH already owns a stake just shy of 17% and officials at the unit said Monday it could raise that stake, and was also considering a full takeover.
Volkswagen elevated Herbert Diess to the top job last week, replacing Matthias Müller in an unexpected CEO shuffle. Following the appointment of Mr. Diess, Volkswagen outlined a broad restructuring plan, including the possible partial listing of its truck business.
“We are now very close to 17%” owners of Navistar, executive Matthias Gründler told reporters Monday. He said the Volkswagen truck unit could use proceeds from its potential listing next year to make a full offer for the U.S. truck maker.
Under U.S. securities law, VW Trucks would be required to make an offer for the rest of Navistar’s shares if it acquires more than 17% of the company, Mr. Gründler said. VW Trucks now holds 16.9% of Navistar.
The comments were made during a briefing with reporters about the company’s development and plans as it prepares for a potential listing next year.
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