Stating its intent after Suzuki asked for a termination of alliance, Volkswagen (VW) said it would keep its stake in Suzuki Motor Corp.
The relationship of Suzuki with its biggest shareholder Volkswagen has been in troubled waters for a while and Suzuki recently asked for a divorce, on the grounds of breach of contract and demanded either Volkswagen gives access to Suzuki to its key technologies or else sells back its stake in the company.
Choosing not to comment on the demands made by Suzuki, Volkswagen stated that, “Volkswagen will not be making any changes to its shareholding in Suzuki Motor Corp.” It also added the company will not be commenting on any further speculation as the matter would be discussed by both the companies internally.
VW had in 2009 purchased 19.9 percent stake in Suzuki Motor Corp for $2.4 billion (Rs. 11700 crore).
As of now Suzuki has received no formal communication from Volkswagen on the matter, and the company stated it would consider taking other steps if its demands are not accepted.