The Volvo Group has announced plans to divest itself of its ‘Governmental Sales’ business area for specially designed defence, peacekeeping and aid trucks and vehicles after conducting a strategic review of its operations.
“Governmental Sales has built a very strong position over the last few years with a positive development and a record order book, and there are great opportunities to grow the business even further,” said Jan Gurander, CFO at Volvo Group.
“However, we believe that a new owner may be better placed to take the business to the next level. Consequently, we intend to start preparations to divest the business.”
Governmental Sales currently employs about 1,300 people, most of them in France, and accounts for approximately 1.5% of the Volvo Group’s total sales.
The initiation of a divestment process is subject to the finalisation with staff representative bodies.
