CHINESE BRILLIANCE AUTO COMPANY FACES BANKRUPTCY

The day before, it became known about the decision taken by the creditors of Brilliance Auto to reorganize the bankruptcy of the company due to the existing financial difficulties. The court ruling on the reorganization indicated that the property was insufficient to pay off the debts, but noted there were resources for the company’s saving.

These resources might be related to the company's long-standing cooperation with BMW - earlier the German concern had already expressed its intention to acquire a 50% stake in the company's subsidiary, increasing its participation to 75%.

According to a preliminary expert assessment, the transaction could cover the existing financial obligations of the parent company to creditors.

It is important to note that Brilliance Auto itself is a state-owned enterprise in China - the authorities are counting on a deal with the German brand. It was noted that the restructuring will be carried out only in the parent company, subsidiaries and joint production with BMW will remain aloof from these processes.

Brilliance Auto sells its cars on the Russian market as well. Now you can buy the Brilliance V3 and V5 crossovers from official dealers. It is interesting that the automaker was even going to open an assembly plant in the Russian Federation.

Whether plans will change now is still unknown. At the moment, no information about the change in the work of Russian offices due to the financial difficulties of the enterprise has been officially announced.