Menu

Faurecia enters definitive agreement with Hitachi to acquire Clarion

News
Acquisition, divestment & Spinoff

Acquisition accelerates Faurecia’s strategy to become key player in cockpit electronic systems

Faurecia has reached a definitive agreement with Hitachi to acquire 100% of Clarion, the French supplier said in a press release on 26 October. Under the agreement, Faurecia will offer JPY2,500 (USD22.2585 as on 26 October) per share for Clarion, which represents a premium of 31.2% over the average of last 20 trading days and a premium of 10.5% over the previous trading day (25 October) when the deal was first reported in media. This translates to a purchase price of JPY141 billion (USD1.26 billion), representing a transaction multiple of 5.7 times of FY2017/18 EBITDA. Faurecia claims to have already secure fund needed to finance the acquisition.

Thank you for visiting IHS Markit AutoTechInsight.

*A subscription to News & Analysis includes four IHS Markit-selected sector-specific analytical pieces per month. Access to all analytic pieces across all domains comes with a subscription to All Services. Please click here to subscribe.

For a free daily listing of headlines with limited access please sign up here.

To get access to the AutoTechInsight full suite of services, please contact a sales representative by clicking here.

Already a subscriber? Please log in here

preload preload preload preload preload