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The Likhachev Plant is a historic Moscow automotive enterprise that built trucks for more than eighty years. Mass production of vehicles has been halted, and the industrial site in central Moscow is being converted into a residential and business district. The shares trade under the ticker ZILL.
A business like this can no longer be understood as a carmaker. Once production has stopped, what the company amounts to is defined by what it has left: land, buildings and liabilities.
An industrial site within Moscow's city limits is a rare and expensive asset: the city is short of plots for development, and the former factory grounds are worth considerably more than the production that used to operate on them.
So the question for a shareholder here is not "how many trucks were sold" but how the site will be disposed of and what the company will receive from its redevelopment. The answer depends on the decisions of the owners and the city authorities, not on the vehicle market.
The land and buildings of the former industrial site in Moscow.
Limited output of vehicles and components.
Strengths and weaknesses describe the business itself. Opportunities and threats describe what may happen around it.
Mass production of vehicles has been halted. Limited output of vehicles and components continues, but the enterprise is no longer the automobile plant it once was.
Above all a property complex: the land and buildings of the former industrial site in Moscow, which is being converted into a residential and business district.
Because plots for development are scarce in Moscow, and former industrial zones are one of the few remaining resources. The value of such land usually exceeds the value of the production that used to operate on it.