TRW Automotive Holdings has announced that its subsidiary, TRW Automotive Inc has signed a definitive agreement to divest its Linkage and Suspension business
22 Apr 2015 | 4168 Views | By Autocar Professional Bureau
TRW Automotive Holdings has announced that its subsidiary, TRW Automotive Inc has signed a definitive agreement to divest its Linkage and Suspension business for$400 million in cash, subject to working capital and other adjustments, to THK Co Ltd.
The planned divestiture, with annual sales of approximately $550 million, is expected to ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
TRW Automotive Holdings has announced that its subsidiary, TRW Automotive Inc has signed a definitive agreement to divest its Linkage and Suspension business for$400 million in cash, subject to working capital and other adjustments, to THK Co Ltd.
The planned divestiture, with annual sales of approximately $550 million, is expected to close by the end of TRW's fiscal third quarter and is subject to customary conditions, including regulatory approvals. Proceeds from the sale will be used for general corporate purposes.
"In addition to resolving the company's overlap position relating to TRW's pending acquisition by ZF Friedrichshafen AG announced on September 15, 2014, this agreement represents a great outcome for both TRW and the business," said John C Plant, chairman and CEO of TRW Automotive. "TRW's Linkage and Suspension business is a long-standing market leader and a trusted partner to the world's vehicle manufacturers. Its pairing with THK's business will further strengthen its position as an industry leader."
With 2014 sales of $17.5 billion, TRW Automotive ranks among the world's leading automotive suppliers. Headquartered in Livonia, Michigan, USA, the Company, through its subsidiaries, operates in 24 countries and employs approximately 65,000 people worldwide.
TRW Automotive products include integrated vehicle control and driver assist systems, braking systems, steering systems, suspension systems, occupant safety systems (seatbelts and airbags), electronics, fastening systems and aftermarket replacement parts and services.