Delphi’s Investor Pulls Out, Cites Unmet Terms
A key financial agreement that Delphi Corp. needs to exit bankruptcy is in jeopardy. Appaloosa Management LP, the lead investor in a deal that would have pumped up to $2.55 billion into the Troy, MI-based supplier, said in a filing Thursday that it has terminated its agreement because certain conditions were not met.
Regulators Clear Sale of PPG Division
From AFX News Limited WASHINGTON — Antitrust regulators approved the sale of PPG Industries Inc.’s automotive glass business to a private equity firm for about $500 million, the Federal Trade Commission said Thursday. PPG, based in Pittsburgh, makes paints and industrial coatings. Company officials said when announcing the deal in September that the sale will
Chrysler Set to Ax Models
Chrysler LLC could cut as many as five nameplates within the month as part of its quick and dramatic makeover as a newly private company. It’s "highly likely" Chrysler’s top brass will approve plans to kill vehicles this month, a person familiar with the situation told the Free Press. About five vehicles are being considered for elimination, but the source would not reveal which ones.
Summit to Link Investors, Suppliers: Automotive Finance Focus of Conference
From Detroit Free Press The credit crunch has not deterred private-equity firms, a powerful force in the automotive industry, from investing in suppliers seeking money for operations, restructuring and new ownership. But with credit harder to obtain, the size of the deals is on the decline, experts say. The credit markets and private equity likely
Eaton Completes Sale of Automotive Mirror Controls Business
CLEVELAND — Diversified industrial manufacturer Eaton Corp. has announced that it has completed the sale of its Mirror Controls Division to funds managed by Englefield LLP, a 2.5 billion private equity firm, for $111 million. Eaton announced on June 22 that it reached a definitive agreement to sell the division. Eaton’s Mirror Controls Division, part
Court Approves DURA Automotive Systems’ Backstop Rights Purchase Agreement and Atwood Sale
DURA Automotive Systems, Inc. has announced that the United States Bankruptcy Court for the District of Delaware approved two important agreements that will help facilitate and finance DURA’s emergence from bankruptcy. The court entered an order approving DURA’s asset purchase agreement for the sale of its Atwood Mobile Products division and approved its amended backstop rights purchase agreement. The order for the backstop agreement will be submitted tomorrow under certificate of counsel. These milestones keep the company on track for an expected emergence from Chapter 11 in the fourth quarter of 2007.
Goodyear Considering New Factories in Europe and Asia
From AFX News Limited CLEVELAND, OH — Goodyear Tire & Rubber Co. is considering building new tire factories in Eastern Europe and Asia by using money from the recent sale of its engineered products business. On Aug. 1, Akron, OH-based Goodyear completed its sale of nearly all of engineered products for $1.48 billion to EPD
Lear Reports Favorable Second Quarter Results
Lear Corp. recently said net income for the second quarter increased sharply to $123.6 million, or $1.58 a share, compared with a loss of $6.4 million, or 10 cents a share, in the same period a year earlier. Lear’s second-quarter performance easily beat the 91 cent per share profit that analysts had expected and shares of Lear stock were up $1.20 or 3.7 percent to $34.59 last week.
Siemens Works Council Not Opposed to VDO Sale to Financial Investor
Siemens AG’s works council is not opposed to a sale of automotive electronics unit VDO to a financial investor, the council’s head and deputy chairman of Siemens’s supervisory board Ralf Heckmann told Euro am Sonntag in an interview. "If we can get an assurance that jobs will be secure, we will approve a sale, even to a financial investor," he was cited as saying in an excerpt of an interview to be published on Sunday.
Detroit Free Press Tom Walsh Column: Snow Sees Things Differently Now
From the Detroit Free Press Funny how a guy’s perspective on the weather can change when his own house lies directly in the path of a hurricane. That’s what I kept thinking Wednesday as I listened to John Snow, chairman of Cerberus Capital Management, speak to the Detroit Economic Club about Cerberus’ growing role in