A deal to sell a former Visteon parts plant has been called off by Ford.
Go deeper with GlobalData
Would-be buyer Meridian Automotive Systems said a memorandum of understanding (MOU) for its proposed acquisition of an Ohio lighting facility with Automotive Components Holdings (ACH) and Ford a year ago was being terminated.
ACH was formed some years ago as a holding company for former Visteon units transferred back to Ford which has since sold many off.
“ACH and Ford have notified Meridian that, because of the significant changes in the overall business environment, including recent reductions in projected industry volumes, it will not be possible to sell ACH’s lighting business on the terms that Meridian, Ford and ACH reached in the MOU,” Meridian said in a statement.
Its president and CEO Richard Newsted added: “The decision… to terminate the MOU is understandable, but is disappointing to all of us. We would reconsider this opportunity should business conditions improve.”
Meridian already has lighting plants in Grand Rapids, Michigan, and Muzquiz, Coahuila, Mexico.
