French car manufacturer Renault said on Monday that it will sell its majority stake in "AvtoVAZ" to a Russian scientific institute, adding that the deal includes a six-year option to repurchase the stake.

Renault, the Western car manufacturer, added that its holding of nearly 67.69 percent in AvtoVAZ will be sold to the Central Russian Institute for Automotive and Engine Research called "NAMI".

Renault had valued its Russian assets at about 2.2 billion euros (2.29 billion dollars) last year. The CEO of the car manufacturer, Luca de Meo, said: "We have made a difficult but necessary decision today, and we are making a responsible decision toward our 45,000 employees in Russia."

"Denis Pak," head of the automotive industry department at the Ministry of Industry and Trade, said in a television interview with Rossiya-24 that the "AvtoVAZ" factory in "Togliatti" might also manufacture "Renault Duster" cars under the "Lada" brand.

"De Meo" was clear about the French car manufacturer's desire to return to Russia after the resolution of the war in Ukraine and the restoration of normal relations.