Fiat Chrysler (FCA) said today that the sale of components manufacturer Magneti Marelli to Japan's Calsonic Kansei, announced on Monday, is the "ideal opportunity" to accelerate the growth of the unit that has been a subsidiary of Fiat since 1967.
FCA CEO Mike Manley said in a statement that after "carefully examining" options for the growth of Magneti Marelli, "the combination with Calsonic Kansei has emerged as an ideal opportunity to accelerate the future growth of Magneti Marelli." .
The firm that emerges from the union "will continue to be one of FCA's most important partners and we would like the relationship to grow even more in the future," Manley said.
The agreement between FCA and Calsonic Kansei states that the new company will be called Magneti Marelli CK Holdings and will become the seventh largest independent component manufacturer in the world.
The transaction is valued at 6,200 million euros (about 7,130 million dollars), according to the companies, with a combined revenue of 15,200 million euros (17,500 million dollars).
The transaction includes an agreement whereby Magneti Marelli CK will continue supplying components to FCA, which "will support the Italian operations of Magneti Marelli".
The CEO of Magneti Marelli, Ermanno Ferrari, assured that this is a day of transformation for both his company and Calsonic Kansei: "It is a moment of great opportunity for all our people to be part of a safe, growing and independent company" , I consider.
The CEO of Calsonic Kansei, Beda Bolzenius, who will lead the new company, stressed that the next few years will be "even more dynamic" for the automotive components sector.
"Together, we will benefit from a geographically complementary product line and production footprint, while our customers will benefit from increased investment in personnel, processes and new products," added Bolzenius.