Shanghai (Gasgoo)- On November 21, Ningbo Joyson Electronics announced that it have signed a definitive agreement with Takata Corporation. According to the agreement, the Chinese company will acquire all of Takata’s business for no more than $1.588 billion, except for those related to phase-stabilized ammonium nitrate (PSAN) airbag inflators.
In order to facilitate the business integration and overall optimization of global tax after the acquisition, Joyson set up a new subsidiary in Luxembourg, named Joyson KSS Auto Safety, as the asset purchasing dealer. Joyson plans to add investment to the new company through its shares in Key Safety Systems (KSS).
The Industrial and Commercial Bank of China and Deutsche Bank will provide a syndicated loan of no more than $1 billion to support this deal. The new company is expected to attract global strategic investors to meet the requirements in global management, business integration and asset purchasing.
The deal is expected to complete in the first quarter of 2018, according to KSS. Before that, it is subject to the approval of certain related departments.
Yesterday, Joyson KSS Auto Safety also finished signing agreements with key automaker customers about the compensation, liability exemption and reorganization support to secure the risk isolation from Takata’s recall and the sustainability of the coming orders.
Joyson Electronics said that the deal will enhance KSS’s technology in active and passive safety field, help to expand capacity and add new orders. What’s more, the deal will bring the company access to Japan market and Japanese carmakers’ supplying system, to promote the company’s position in the global supply chain.
Founded in 2004, Joyson Electronics has managed to acquire many overseas companies in recent years in such fields as intelligent driving, vehicle safety, new energy vehicle power management system. Its revenue grew to RMB 18.6 billion in 2016 from RMB 0.2 billion in 2006. Its ability to integrate high-quality enterprises may be the driving force for its substantial growth. In March, 2016, Joyson Electronics acquired KSS for $0.92 billion.
Gasgoo not only offers timely news and profound insight about China auto industry, but also help with business connection and expansion for suppliers and purchasers via multiple channels and methods. Buyer service: [email protected] Seller Service: [email protected]
All Rights Reserved. Do not reproduce, copy and use the editorial content without permission. Contact us: khoahocxaydung.info.