Volkswagen and Skoda celebrated on Monday 25 years since the German Group decided to invest in the Czech brand.
Skoda have come a long way in the past couple of decades, evolving from a relatively unknown name in the global automotive world to a strong brand, especially in the Eastern part of Europe. Volkswagen showed its first intentions to buy the Czech automaker in late 80s, but only at the end of 1990 the local government agreed to make the step of allowing Skoda to be part of Europe’s largest auto group. On 28 March 1991, the Czech minister and the CEO of Volkswagen at that time, Carl Hahn, signed the contract for the integration of Skoda.
For a contribution of 620 million Deutschmarks over the course of 1991, Volkswagen acquired at first 31 percent shares in the company from Mlada Boleslav and, gradually, the group increased its stake and became the sole owner of the stock company Skoda on 30 May 2000.
A quarter of a century after the new start under the German umbrella, Skoda sold last year more than 1 million cars for the second time in its history, increasing its global deliveries slightly, by 1.8 percent. However, 2015 was a challenging one, partly because of the pressure triggered by the diesel scandal of its parent-company and the volatility of certain markets – mainly in the Eastern Europe ones and in Russia.