AB Volvo proposes distribution of proceeds from sale of UD Trucks
By Jim Gibbins - 15th June 2021
Sweden - Following the sale of UD Trucks to Isuzu Motors Ltd, the Board of Directors at AB Volvo has proposed the proceeds from the sale be distributed to its shareholders, subject to an EGM on June 29, 2021, approving the proposal. This means distribution of SEK9.50 per share, corresponding to approximately SEK19bn (EUR1.8bn), is proposed to take place on July 1, 2021.
Carl-Henric Svanberg, chairman of AB Volvo, said: “The Board believes that the Volvo Group’s improved profitability, resilience in downturns and strong financial position enable a distribution of the proceeds from the sale of UD Trucks to the shareholders. Even after the distribution, the Group is financially strong with resources to invest in future technologies and business models that drive the transition to fossil-free transports and a more sustainable society.”
