AvtoVAZ to Borrow $2 Billion for Upgrade With Renault-Nissan

OAO AvtoVAZ, Russia’s biggest automaker, will seek to borrow as much as 60 billion rubles ($2 billion) by 2015 for its biggest overhaul “in decades” with Renault SA and Nissan Motor Co.’s help, to compete against international brands.

“This is the first time in many years, if not in decades, that AvtoVAZ is launching new projects on such a scale,” Chief Executive Officer Igor Komarov said in an interview at the Togliatti headquarters near the Volga River. Prime Minister Vladimir Putin visited the plant last week for the unveiling of the Lada Largus minivan and passenger car, its first model based on a Renault platform.