Avtodom has finalized its acquisition of Mercedes-Benz assets in Russia, according to the company’s press service as cited by TASS. The deal marks a significant step in the automaker’s local footprint and Avtodom’s growing role in supporting and sustaining Mercedes-Benz operations within the country.
On April 25, 2023, Avtodom group of companies announced that it had signed an agreement to purchase the Russian assets of Mercedes-Benz. This milestone positioned Avtodom to take over responsibilities previously held by the German automaker within the Russian market and to continue delivering service and support to Mercedes-Benz owners in the region.
The arrangement grants Avtodom the right to provide warranty support for Mercedes-Benz vehicles sold or serviced in Russia. In addition, Avtodom is preparing to appoint a technology partner to oversee the ongoing operation of the Mercedes-Benz plant located in the Moscow region, ensuring continuity of production and aftersales capabilities for local customers.
Details regarding the financial terms of the asset sale were not disclosed. The agreement includes a provision that affords Mercedes-Benz an option to repurchase shares, reflecting a potential strategic path for future corporate flexibility. The Mercedes-Benz plant in the Esipovo industrial park, situated in the Moscow region, began operations in spring 2019 and is equipped to produce 25,000 to 30,000 vehicles annually in full-cycle mode, depending on market demand and production planning. This facility has been a key manufacturing site within Russia’s automotive landscape since its launch.
Earlier communications indicated that progress on the Moskvich plant was advancing, with reports suggesting that the main production line had been brought online. The interconnected development of these facilities underscores a broader effort to sustain automotive manufacturing activity within Russia while aligning with the evolving corporate strategy of Mercedes-Benz and its regional partners.