MAN acquires Brazil-based VW Truck & Bus

16 Dec 2008

MAN AG is to acquire VW Truck & Bus, which is based in Resende (Brazil), from Volkswagen AG. The company with an enterprise value of €1,175 million is set to be transferred on 1 January 2009. The executive bodies of MAN and VW have already granted their approval.

Volkswagen Truck & Bus has been producing trucks and buses in Resende since 1996. The company is Brazil's largest truck manufacturer and leads the market for trucks with a gross vehicle weight of more than five tons.

The vehicles are primarily sold in Latin America and South Africa. Around 47,000 trucks and buses were supplied in 2007. The company has a comprehensive sales and service network in Brazil and neighboring countries. Around 5,000 employees work at the Resende plant – one of the most modern truck production facilities – for VW Truck & Bus and its partner suppliers.

Acquiring the Brazilian company and its strong brand enables MAN to expand into the South American market, one of the fastest-growing regions, thus consistently strengthening its commercial vehicles business.

The CEO of MAN AG, Håkan Samuelsson, sees the acquisition as an important step for the MAN Group: ''Having concentrated on our core business units, MAN is now focusing on expansion in all business areas. The acquisition of VW Truck & Bus in Brazil marks another milestone in our international growth in trucks and buses.

The new business area with its strong market position will provide MAN with access to the Latin American market. At the same time, we can see considerable synergy potential for our production network.

VW Truck & Bus has a strong regional sales network and a state-of-the-art truck and bus plant at its Resende site. We look forward to further strengthening the company's position together with its President  Roberto Cortes, his management team and the employees.''