Magna announces agreement to sell interiors operations

Magna announces agreement to sell interiors operations

Magna International Inc. recently announced that it has signed an agreement to sell substantially all of its interiors operations to Grupo Antolin, a leading global supplier of automotive interior systems. The purchase price for the operations, excluding certain assets, is approximately $525 million, subject to customary closing adjustments for the value of net working capital and net debt at closing.

The transaction includes 36 manufacturing operations and approximately 12,000 employees located in Europe, North America and Asia. Full year 2014 total sales for the operations included in the agreement were approximately $2.4 billion. Magna’s seating business is not included in this transaction.

Don Walker, Magna’s Chief Executive Officer commented: “This transaction is consistent with our strategy of refining our product portfolio to focus on certain key areas of the vehicle. In addition, we are very pleased to have reached an agreement with an established company that we believe will be well-positioned globally in the interiors business. We are confident that Grupo Antolin will continue to serve our interiors customers and provide to our interiors employees a solid foundation for the future.”

The transaction is expected to close in the third quarter of 2015, subject to a number of customary conditions, including antitrust approvals.

Categories: Business, Uncategorized