Samsung SDI has agreed to acquire the battery pack business of Magna International, with the transaction expected to be completed during the first half of this year, pending regulatory approvals.

Financial terms of the deal are not being disclosed.
 
"The acquisition is a key strategic step for Samsung SDI to strengthen the competitiveness of our automotive battery business," said SDI president and CEO, Namseong Cho.

"It will provide new momentum to expand our business and customer base."

With the agreement, Samsung SDI will acquire the entire battery pack business from Magna Steyr, an Austria-based operating unit of Magna International, including all 264 employees, production and development sites, as well as existing contracts of the business.

The global market for electric vehicles, including hybrid and plug-in hybrid models, is forecast to reach 7.7m vehicles by 2020, compared with 2m in 2014, according to research firms B3 and IHS.

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– Samsung SDI Co. Ltd., a global leader in energy solutions and electronic materials, has agreed to acquire the battery pack business of Magna International, a leading global automotive supplier.

 

The acquisition is expected to enhance Samsung SDI’s capabilities in batteries for electric vehicles by combining the company’s established leadership in battery cells and modules with Magna's expertise in battery packs.

 

MSBS Austria factory 

 

Magna’s advanced technology and experience in providing global automakers with battery packs will also help Samsung SDI secure customers in the fast-growing automotive battery markets in Europe, North America and China.

 

"The acquisition is a key strategic step for Samsung SDI to strengthen the competitiveness of our automotive battery business,” said Namseong Cho, President and CEO of Samsung SDI. "It will provide new momentum to expand our business and customer base.”

 

Under the agreement, Samsung SDI will acquire the entire battery pack business from Magna Steyr, an Austria-based operating unit of Magna International, including all 264 employees, production and development sites and existing contracts of the business.

 

 Samsung sdi's automotive battery

 

Financial terms of the deal will not be disclosed. The transaction is expected to be completed during the first half of 2015, pending regulatory approvals.

 

The global market for electric vehicles, including hybrid and plug-in hybrid models, is forecast to reach 7.7 million vehicles by 2020, compared with 2.1 million in 2014, according to research firms B3 and IHS.

 

Original source: http://www.samsungsdi.com/about-sdi/pr-center/sdi-news/view?mode=&pageno=1&seqno=1691&key=&keyword=