Hitachi : French group Faurecia to launch tender offer for Clarion acquisition
January 29, 2019 at 01:26 am EST
Share
PARIS (Reuters) - French car parts company Faurecia said it would launch on Jan. 30 its tender offer to buy out Japanese car navigation system maker Clarion as part of its previously announced $1.3 billion (£989.12 million) takeover of Clarion from Hitachi.
The Clarion takeover is the latest in a flurry of deals among car components businesses, which are trying to keep up with a shift by car makers into new technologies such as autonomous driving, connected cars and electric vehicles.
Clarion shareholders will be offered a chance to tender their shares by February 28, 2019 at a price of 2,500 yen per Clarion share, Faurecia said on Tuesday.
Faurecia added that Japanese company Hitachi had committed to tender all of its shares, representing 63.8 percent of the share capital of Clarion, to Faurecia's offer.
(Reporting by Sudip Kar-Gupta; Editing by Muralikumar Anantharaman)
Hitachi specializes in manufacturing and marketing of electronic and industrial equipments. Net sales (including intragroup) break down by family of products and services as follows:
- social infrastructure and industrial systems (24.7%): elevators, escalators, industrial facilities, railway systems, power generation units, etc. The group also provides engineering and construction of nuclear, hydroelectric, and thermal power plants services;
- information and telecommunications products and services (20.1%): systems integration, cloud computing, software, servers, hard disks, PCs, ATMs, data communication base stations, payment terminals, etc.;
- materials and components (16.6%): semi-conductor materials, printed circuit cards, cables, copper and forged steel products, magnetic materials, organic and inorganic chemical products, etc.;
- construction equipment (10%) : hydraulic excavators, wheel loaders, mining equipment, etc.;
- automotive systems (9.4%): powertrain systems, control systems, etc.;
- electronic products (9.2%): fiber-optic components, screen tubes, testing and measurement equipment, medical equipment, equipment for manufacturing semiconductors, etc.;
- household appliances (4.7%): heating and air conditioning equipments, refrigerators, washing machines, etc.;
- other (5.3%): mainly transport, financial and logistical services.
Net sales are distributed geographically as follows: Japan (49.2%), Asia (21.3%), North America (12.7%), Europe (10.8%) and other (6%).
HITACHI, LTD. 
