Volkswagen is exploring the possibility of acquiring a large stake in Chinese JAC Motors


German automaker Volkswagen is considering the possibility of buying a large stake in the Chinese JAC Motor, which is its partner in the joint production of electric vehicles in China. For this purpose, Goldman Sachs investment bank was involved as an adviser. This was reported to Reuters by informed sources. The possibility of such a deal attracts Volkswagen, which seeks to develop the production of electric vehicles and increase their demand in China. To achieve this, Volkswagen plans to transfer most of the production of electric vehicles planned in this country to the JAC sites. As previously reported, the Chinese authorities in 2018 lifted restrictions on foreign companies getting full control over a joint venture or automaker that manufactures electric or hybrid cars in China. The market value of JAC is currently estimated at $1,900 million.

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