Volvo India buys out partner in joint bus venture

BANGALORE - Transport solutions major Volvo Buses India Ltd Monday announced that it has bought the 30 percent equity stake its partner Azad Coach Builders Ltd group had in the joint venture for an undisclosed sum.

Post-acquisition, Volvo’s stake in the three-year bus venture will increase to 100 percent.

“In the joint venture, we invested about Rs.100 crore (Rs.1 billion) that included our portion (70 percent) of the stake,” Volvo Buses India managing director Akash Passey told reporters here.

The decade-old Indian subsidiary of the Swedish transport major plans to expand its plant capacity to roll out about 2,000 buses per annum over the next five years.