Remy Worldwide Holdings has received bankruptcy court approval for the sale of its subsidiary operation M&M Knopf Auto Parts.

The unit is one of the largest distributors of recycled auto parts to the remanufacturing market worldwide and is also a global distributor of Saginaw Steering systems.

A definitive agreement was reached on 6 November to sell the business.

"The sale of Knopf reflects the continued progress Remy has made in focusing on its core operations over the last year," said CEO John Weber.

"This is a win-win situation for both parties and we are pleased to see the Knopf brothers return to ownership of their family business. The Knopf brothers are excellent businessmen and are best suited to continue to grow this business. Remy will have a continued involvement with the Knopfs going forward and we wish them well in their future endeavours."

The completion of the transaction is subject to customary conditions but is scheduled for 4 December.