Volvo Cars will sell its Swedish component manufacturing unit in Floby, which makes brake discs, wheel hubs and connecting rods for passenger cars and commercial vehicles, to global automotive components firm Amtek Group.
With around 70% of its production sold to customers outside the purview of Volvo Cars, the plant boasts of a staff headcount of 441. All the staff would continue with discharging their responsibilities during the new regime.
Based in India, Amtek Group is a component manufacturer which has units across the world. It boasts a clientele hailing from automobile maker and other firms from an array of sectors.
Volvo Cars purchasing and manufacturing senior vice-president Lars Wrebo said: "I am very pleased with Amtek as the new owner of the Floby plant. As a global company with a strong presence in the automotive business, Amtek is in a good position to develop and further strengthen the competitiveness of the Floby plant."
Beside, Volvo Cars will go on availing components from Floby plant even though it has changed hands.
Volvo Cars, armed with 26,000 strong workforce across the globe, posted sales of 465,866 across 100 countries last year. It has its headquarters, along with product development, marketing and administration functions, in Gothenburg, Sweden.
