Dacia to merge with four suppliers

Automobile Dacia is to merge through absorption with four companies that currently operate from its platform and in which Dacia owns more than 99% of the share capital. After completing the process, the absorbed companies will be dissolved, though not liquidated, and their assets assigned to the absorbing company. The merger will become effective from the date on which the absorbing company registers the details of its maintaining its capital and incorporating all the changes made with the Trade Registry Office. Absorption of the four companies will mean that Automobile Dacia will in fact come into possession of its own shares, given that it has nearly a total ownership of the four companies. Dacia officials say that the four companies – Masini Unelte Dacia, Motoare Dacia, Servicii Comune Dacia and Utilaje Dacia – were created before Dacia’s privatisation in 1999. The privatisation included the four companies, however it proved impossible to modify their legal status in the five years since the takeover of Dacia by Renault. The merger is being carried out in order to improve management operations (through implementation of uniform management and marketing policies), optimise resource use efficiency, reduce administrative costs, boost operational and financial activity efficiency and reduce red tape. ZF