Stellantis, Koc Holding reach agreement on Tofas JV

(Reuters) - Stellantis announced on Wednesday it had reached an agreement with Turkey's Koc Holding aimed at further expanding their joint venture Tofas which includes a change of the ownership structure of a local distribution unit.

"Under a new strategic agreement entered into today, Tofas will acquire the entire share capital of the Stellantis distribution company in Turkey, Stellantis Otomotiv Pazarlama", the group said in a statement.

As a result, all Stellantis brands in the country - Alfa Romeo, Fiat, Citroën, DS Automobiles, Jeep, Maserati, Opel and Peugeot - will be distributed by Tofas, Stellantis said.

"To gather all the activities in Türkiye under one single entity (...) will not only allow unprecedented synergies in commercial activities, production and R&D globally, but will also pave the way to offering broader and more efficient products and services", it added.

Tofas is a joint venture of Koc and Stellantis, which was formed in 2021 through the merger of France's PSA and Fiat Chrysler.

(Reporting by Dina Kartit, edite by)