Franco-German armored vehicles maker KMW-Nexter is planning to buy the Governmental Sales division of Swedish truck maker Volvo (VOLVb.ST), German daily Die Welt reported, not citing where it obtained the information.
Volvo had put the unit, which employs 1,300 staff and accounts for about 1.5 percent of Volvo’s revenues, for sale earlier this month following a strategic review of the business. It manufactures and sells custom-designed vehicles to governments, the defense industry, peacekeeping forces and aid organizations.
Volvo had sales of 313 billion Swedish crowns ($33.9 billion) in 2015.
KMW-Nexter declined to comment, Die Welt said.
KMW was not immediately available for comment when contacted by Reuters.
A spokesman for Volvo said that there had been no contact with any buyers so far, adding that process had not yet been started.
“We are in a consultation period still. Talks with unions … aren’t finished yet.”
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Source: Reuters.com
