Peugeot may sell control of logistics arm GEFCO to Russian railway operator for $1 billion
by The Associated Press
JSC Russian Railways could take 75 per cent stake in parts, vehicles mover
PARIS—French carmaker PSA Peugeot Citroen says it’s in exclusive talks to sell a controlling stake in its logistics business to Russia’s national railway for $1-billion.
The carmaker said in a statement the talks with JSC Russian Railways could see the Russian firm take a 75 per cent in GEFCO, one of Europe’s leading automotive logistics businesses.
PSA Peugeot Citroen says the deal would help GEFCO expand into China, India and Latin America, in addition to accelerating its growth in Eastern Europe and Russia.
GEFCO employs 10,300 people and specializes in transport of parts and vehicles for the car industry.