Calsonic Kansei and Magneti Marelli to Create a Leading Independent Automotive Components Supplier

Posted on 23. Oct, 2018 by in Chrysler Canada

October 22, 2018

, London

Fiat Chrysler Automobiles N.V. (“FCA”) (NYSE: FCAU/MTA: FCA) announces that it has entered into a wilful agreement (the “Transaction”) to sell a automotive components business Magneti Marelli S.p.A. (“Magneti Marelli”) to CK Holdings Co., Ltd. (“CK Holdings”), a holding association of Calsonic Kansei Corporation (“Calsonic Kansei”), a heading Japanese automotive member supplier. Following a shutting of a Transaction, CK Holdings will be renamed as Magneti Marelli CK Holdings*. The sum businesses of Calsonic Kansei and Magneti Marelli will emanate a world’s 7th largest tellurian eccentric automotive components retailer formed on sum revenues.
 
The agreement represents a transaction value of EUR 6.2 billion. The Transaction is approaching to tighten in a initial half of 2019 and is theme to regulatory approvals and other prevalent shutting conditions.

The Transaction represents a singular event to mix dual successful businesses to emanate one of a heading tellurian eccentric automotive components suppliers, with sum revenues of EUR 15.2 billion (JPY 1,975 billion1). The multiple is a wilful step towards both companies’ vital aspiration to turn a heading globally-diversified tier-one supplier.
 
The sum association will be good positioned to offer a business around a universe due to a extended scale, financial strength and a rarely interrelated inlet of a sum product lines and geographic footprint. The new entity will work out of scarcely 200 comforts and RD centers opposite Europe, Japan, a Americas, and Asia Pacific.
 
* The authorised entity name is theme to shareholder approval.
[1] Exchange rate: EUR 1/ JPY 130 

 
FCA has also concluded to a multi-year Supply Agreement that will serve strengthen a jointly profitable attribute for both Magneti Marelli and FCA’s expanding indication operation and that will means Magneti Marelli’s Italian business operations, positioning it strongly for continued expansion and success in a future.

The sum association will be led by Beda Bolzenius, now CEO of Calsonic Kansei, formed in Japan. Ermanno Ferrari, CEO of Magneti Marelli, will join a Magneti Marelli CK Holdings* board.
 
Commenting on a transaction, Mike Manley, CEO of FCA, said: “Having delicately examined a operation of options to capacitate Magneti Marelli to demonstrate a full intensity in a subsequent proviso of a development, this multiple with Calsonic Kansei has emerged as an ideal event to accelerate Magneti Marelli’s destiny expansion for a advantage of a business and a superb people. The sum business will continue to be among FCA’s many critical business partners and we would like to see that attribute grow even serve in a future. The transaction also recognises a full vital value of Magneti Marelli and is another critical step in a relentless concentration on value creation.”
 
Beda Bolzenius, CEO of Calsonic Kansei, said: “Our attention has left by extreme change in new years and a proviso to come will be even some-more dynamic. It is sparkling to form a clever height for Calsonic Kansei and Magneti Marelli to work together and emanate a rival automotive retailer that is intensely good placed among a tellurian Top Ten. Together, we will advantage from interrelated geographic footprints and product lines, while a particular business will advantage from an increasing investment in people, processes and innovative new products.”
 
Ermanno Ferrari, CEO of Magneti Marelli, said: “This is a transformational day for both Magneti Marelli and Calsonic Kansei, formulating as it does a tellurian business of well-developed range, reach, imagination and destiny prospects. This is a impulse of good event for all a people to be partial of a secure, flourishing and eccentric association of substantial scale that can demeanour to a destiny with energy, aspiration and confidence.”
  
About Calsonic Kansei
Calsonic Kansei is a tellurian manufacturer of a extensive product line of automobile tools specializing in thermal products, empty systems, interiors and electronics. A unconditionally owned portfolio association of KKR, Calsonic Kansei is headquartered in Saitama, Japan and has recently distinguished a 80th anniversary. It delivered combined revenues of EUR 7.7 billion (or JPY 998 billion1) for mercantile year 2017, that finished Mar 2018.
 
For additional information about Calsonic Kansei Corporation, greatfully revisit Calsonic Kansei’s website during www.calsonickansei.co.jp/english/index.html
 
About Magneti Marelli
Magneti Marelli is a heading tellurian automotive components manufacturer founded in 1919 and headquartered in Corbetta, Milan. It specializes in lighting, powertrains, electronics, exhausts, suspensions, startle absorbers, and motorsports. The association has been a auxiliary of FCA and a prototype companies given 1967. Total revenues for 2017 were EUR 8.2 billion (or JPY 1,066 billion1).
 
Contact Details:
For FCA and Magneti Marelli
– mediarelations@fcagroup.com
 
For Calsonic Kansei:
Finsbury – Calsonic.kansei@finsbury.com
Japan:
Nicola McGowan +81 (0)70 3857 8699
Ayako Okamoto +81 (0)80 9898 5591
 
For Italian Media:
Community Group
Auro Palomba – auro.palomba@communitygroup.it
Pasquo Cicchini – pasquo.cicchini@communitygroup.it, +39 3451462429


* The authorised entity name is theme to shareholder approval.
[1] Exchange rate: EUR 1/ JPY 130

 

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