ROMANIA: Johnson Controls acquires Romanian foam maker
Johnson Controls (JCI) has acquired the automotive division of Romania's Spumotim, a manufacturer of polyurethane foam for the automotive industry.
The Romanian competition authority in Bucharest approved the transaction on 30 November but terms were not disclosed.
JCI has forecast the Romanian automotive market will grow by approximately 80% over the next four years and said the acquisition aligns its production capacity with this expected growth and positions itself as a leading supplier of seating components in the region.
In addition to foam products, Spumotim produces metal seat components and mechanisms, fabrics and seat covers, as well as complete seats.
"Romania is an important part of the growing eastern European automotive market. The acquisition of Spumotim is intended to support several of our customers - Dacia, Ford and Fiat - that operate production facilities in the region," said Brian Cooke, head of the global foam business unit at JCI's interiors unit.
The automotive division of Spumotim SA employs 300 people. The sale includes the company's headquarters and plant location in Timisoara plus a plant in Pitesti. The company was already a JCI supplier.