Volvo to take over Nissan Diesel Motor Co. Ltd.

Volvo to take over Nissan Diesel Motor Co. Ltd.

Swedish truck maker Volvo has announced that they are taking over the operations of Nissan Diesel Motor Co. Ltd.

This deal is worth around $1.1 billion and is expected to help Volvo expand their operations in the Asian markets.

Volvo is also expected to gain from the Japanese truck maker’s expertise.

They already own 19 percent of Nissan Diesel and would be paying 540 yen in cash for rest of the shares. Volvo added that it would also assume net interest-bearing debt at Nissan Diesel.

Volvo Chief Executive Leif Johansson added in a statement: “Nissan Diesel’s products and know-how represent a valuable complement to the Group’s truck business. Nissan Diesel has a solid position in Japan and the rest of Asia where the Volvo Group foresees substantial growth potential.”