New Valeo CEO Jacques Aschenbroich has said the company would consider seeking finance to buy parts of bankrupt Delphi and Visteon when market conditions improve.
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Valeo would also be looking to sell non-strategic parts of its business, he said at the annual shareholders’ meeting.
The supplier’s biggest shareholder is Pardus Capital, the US-based hedge fund, which also has stakes in Visteon and Delphi. Pardus had wanted Valeo to acquire Delphi and Visteon assets but previous CEO Thierry Morin was against the idea.
Aschenbroich told shareholders carmakers had managed to reduce stock levels sufficiently over recent months so that supply and demand were now better matched.
“We are noticing a convergence between the level of production and that of sales, marking the probable end of destocking by carmakers,” he said.
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By GlobalDataHe confirmed the group’s previous forecast of a 30% drop in sales in the first half, and a 20% drop for the year as a whole.
The group posted a 33.4% fall in first-quarter sales in April, and pledged to step up cost-cutting plans.
