Investor Wilbur Ross has agreed to buy most of Collins & Aikman Corp.’s carpeting and acoustic materials business.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
According to Automotive News Ross is offering US$134 million in cash, plus other undisclosed compensation and the assumption of certain liabilities. Cerberus Capital Management LP had previously made a tentative agreement to buy the business, but had declined to complete the deal.
The Ross agreement also reportedly provides lenders to Collins & Aikman an opportunity to invest in as much as 25% of Ross’s business, International Automotive Components Group North America.
The offer by Ross is for 16 plants in North America that employ 4,300 people. The annual sales of the operations are about $615 million.
According to Automotive News, if the deal is approved, Ross’ interests in 18 months will have accumulated automotive-related businesses with about $5 billion in annual revenue.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
