From FinancialWire
Automobile parts maker Lear Corp. has agreed to issue $200 million of common stock in a private placement to affiliates of and funds managed by billionaire financier Carl Icahn. The offering includes 8,695,653 shares of Lear common stock issued at $23 per share.
Under the deal, Icahn will have the right to place a representative on Lear’s board. Icahn said that his investment was an expression of confidence in Lear’s management team.
Southfield, MI-based Lear is a leading maker of automotive interior components. The company just completed the transfer of its European interiors business to a joint venture controlled by billionaire Wilbur Ross. Lear got 1/3 of the venture in exchange. Lear expects to post net sales of $4.1 billion and a pretax loss in the range of $60 to $70 million for the third quarter.