Automotive technology company Veoneer has finalised the split of Zenuity, its software and ADAS joint venture with Volvo Cars.
As part of the split, Veoneer received IP licenses and strengthened its software and systems team with around 200 software engineers joining the company.
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On 2 April, the partners announced a preliminary agreement to split Zenuity in order for each company to more effectively drive their respective strategies.
The parties entered into definitive agreements on 1 July.
As part of the split, Veoneer received IP licenses and added software engineers located in Germany, the US and Sweden, which strengthens its software and systems team focused on the development and commercialisation of advanced driver assistance system (ADAS) software for collaborative driving.
As announced earlier, Veoneer expects to achieve annual savings of around US$30m-$40m as a result of the split.
As part of the transaction, Veoneer receives cash of around US$15m.
"During the next decade, more than 90% of our available market will be for advanced driver assistance systems and collaborative driving. I would like to give a warm welcome to the talented people that are now joining us, they will be key contributors in our pursuit for leadership in the growing ADAS market", said Jan Carlson, chairman, president & CEO, of Veoneer.
