NEW YORK — International Automotive Components Group Brazil, a joint venture between WL Ross & Co. LLC and Franklin Mutual Advisers, LLC, has acquired a controlling stake in the Brazilian operations of Collins & Aikman. The deal includes 100 percent of the equity interests in Permali do Brazil Industria e Comercio Ltda. (Permali), and approximately $48.2 million of intercompany loans (including accrued interest), to Plascar Industria de Componentes Plasticos Ltda. (Plascar Ltda).
Permali is the controlling shareholder of Plascar Participacoes Industriais S.A. (Plascar S.A.) through its ownership of 99.99 percent of the voting common shares in Plascar S.A. (56.5 percent of the total capital stock), which is publicly traded on the Sao Paolo stock exchange (Bloomberg – PLAS4 BZ). Plascar S.A., meanwhile, through Plascar Ltda owns three manufacturing facilities in Brazil producing automotive interior and exterior components for leading automotive manufacturers including DaimlerChrysler, Fiat, Ford, General Motors, Scania, Toyota and Volkswagen.
Ross commented, “Plascar provides us with a strong position in a market that is rapidly growing and benefits from low manufacturing costs. We expect that this acquisition will be a good complement to our existing European interior plastics business.”
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