TROY, MI — ThyssenKrupp Budd has agreed, in principle, to sell its North American automotive body and chassis operations to Martinrea International, Inc., of Vaughan, Ontario, Canada. Martinrea, a Tier 1 automotive supplier, produces metal parts, assemblies and modules and fluid management systems.

The agreement, expected to be finalized by the end of the year, includes plants in Hopkinsville and Shelbyville, KY, Kitchener, Ont., and Hermosillo, Mexico. In addition, six plants operated by ThyssenKrupp Fabco and three operated by ThyssenKrupp Budd Systems are part of the transaction. A technical center in Auburn Hills, MI, is also included. Approximately 180 employees at ThyssenKrupp Budd Corporate Headquarters in Troy, MI, will also transfer to Martinrea. ThyssenKrupp Budd said it will make every effort to provide a smooth and efficient transition of the approximately 3,500 affected employees and facilities to the new owner.

The sale does not affect the ThyssenKrupp Waupaca foundry group or a joint venture in Silao, Mexico. ThyssenKrupp will continue to produce powertrain components at facilities in North America.

The business was sold for approximately $275 million, which consists of $95 million in cash and the remainder in assumed liabilities. Annual sales from the sold operations are approximately $1.25 billion.