Volvo Takes Full Ownership of Pininfarina Joint Venture

Volvo has announced that it is taking over full ownership of the Pininfarina Sverige AB joint venture, a corporation that was set up by Volvo Car and the Italian design firm in Uddevalla, Sweden, in 2003. Pininfarina held 60%, while Volvo held 40%. It launched operations in 2006.

Volvo Car Corporation and Pininfarina S.p.A. has agreed upon the termination of the joint venture agreement regarding Pininfarina Sverige AB and its operations. The carmaker will have complete ownership under the agreement starting in May 2013 and will also be the rightful proprietor of the plant in Uddevalla.

The facilities there currently make the Volvo C70 convertible, which will continue without change going forward. The carmaker has also announced that it will take full responsibility for the employees in the Uddevalla plant.

"Epochal changes have occurred in the last three years, particularly in the automotive world. Pininfarina's future rests on design and engineering services, sustainable mobility and brand value enhancement. This is why, after a long-lasting and very successful cooperation with Volvo Car Corporation, we are now approaching our future on different basis," explained Pininfarina chief executive Silvio Pietro Angori.

"The joint venture between Volvo Car Corporation and Pininfarina has been fruitful, a true win/win situation. When we now put an end to our cooperation it is with a mutual understanding and in a time with new challenges for both companies,” stated Volvo Car Corporation president and chief executive Stefan Jacoby.

The joint venture between Pininfarina and Volvo Car Corporation was created in 2003. Unfortunately, the value of the deal was not disclosed.