Hanon Systems completes buyout of Magna’s fluid pressure and controls business
The transaction involves nine manufacturing and engineering facilities across Europe, North America and Asia
Hanon Systems has completed the acquisition of the Fluid Pressure & Controls business of Magna International Inc for approximately $1.2 billion (Rs 7,580 crore) . The two companies announced plans for the transaction on September 20, 2018.
“This transaction is a significant milestone in the history of Hanon Systems and strengthens its position in the automotive thermal management sector,” said Yeo-Eul Yoon, Hanon Systems chairman of the Board and Chairman of Hahn & Company, the company’s majority shareholder.
Hanon Systems pursued this deal with Magna International based on the alignment of this business to the company’s strategic priorities. The business acquired specialises in thermal and energy management solutions designed to improve conventional and electrified powertrain efficiency. It includes a range of mechanical and electronic pumps for automotive thermal and transmissions systems, and brushless direct current motor and electronic cooling fan technologies.
The transaction involves nine manufacturing and engineering facilities across Europe, North America and Asia, and approximately 4,100 employees. Based on 2018 results, the combined business would have generated annual revenue of $6.9 billion.
“The new Hanon Systems – with its competitive technology and innovative capabilities, expanded global footprint and highly regarded talent pool – is well-equipped to support global automakers and the industry shift toward e-mobility,” noted Y.E. Yoon.
Hanon Systems is a full-line supplier of automotive thermal and energy management solutions for electrified and conventional vehicles. Its offering includes a wide range of solutions in the areas of heating ventilation and air conditioning; powertrain cooling; compressor; fluid transport; and electronics and fluid pressure. The company currently employs more than 22,000 people across 21 countries at its 51 manufacturing and 23 engineering sites, including India.
RELATED ARTICLES
US tariffs will hurt both automakers and US manufacturing: ACEA
European Automobile Manufacturers’ Association says that the EU and the US must engage in dialogue to find an immediate ...
Trump levies 25% tariff on all cars imported to US
President Donald Trump claims new levy on all cars and car parts shipped into the country will create "tremendous growth...
Hyundai opens its third factory in the US: Metaplant America
Hyundai Motor Group Metaplant America's vehicle assembly and battery plant is the key pillar of the Hyundai Motor Group’...