ArvinMeritor completed the sale of its body systems division to Inteva Products

Article by Christian Andrei, on January 8, 2011

ArvinMeritor Inc.’s sale of its body systems division to Inteva Products has been completed. The deal, which amounts to $27.3 million, includes $12.3 million in cash and a promissory note for $15 million, according to a statement from ArvinMeritor. Last August, the company revealed plans to sell its body systems division to Inteva for $35 million.

This sale is in line with ArvinMeritor’s plan to concentrate on commercial trucks and to leave the light vehicle business. In this press release, CEO Chip McClure said that the company considers the completion of this sale to be “an important milestone.”

He added that the transaction “completes [its] transformation” and will advance its ability to reach its financial goals as the core operations in the global commercial vehicle and industrial markets is strengthened.

In the fourth quarter of its 2010 fiscal year (ending on Sept. 30), ArvinMeritor recorded a net income of $2 million on revenue of $956 million, getting back on the black from a $14 million net loss on revenue of $697 million the year before.

ArvinMeritor also pointed out that its profits grew because of the rising demand for trucks in North America and Europe. Inteva, which is also based in Detroit, is a wholly owned subsidiary of Renco Group Inc. Inteva produces instrument panels, consoles, cockpits and door closures.

Two years ago, Renco Group acquired Inteva from Delphi Corp. Inteva’s products will now include sunroofs, motors and electronics, after having acquired ArvinMeritor’s body systems division. ArvinMeritor supplies drivetrain, suspension and chassis components and systems. [via autonews - sub. required]

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

More positive news has been pouring in before the year ends. For those who have been waiting to hear the latest word on Toyota 86, we have some great news....
by - December 10, 2016
Hyundai is making the green vehicle race more competitive by offering three powertrain types -- pure electric (EV), hybrid (EV plus combustion engine) and plug-in hybrid (PHEV) – in one...
by - December 9, 2016
Although specs for the new Renault Megane had already surfaced several weeks ago, we didn’t know that the company has cooked up something new. Aside from the 200hp gasoline, Renault‘s...
by - December 9, 2016
For the first time in fifty-eight years, Infiniti registers its first US-Spec Q60 Coupe in Cuba. American products have not been allowed entry into Cuba for six decades. But it...
by - December 9, 2016
Chevrolet has already given out the pricing for some of its 2018 Equinox models. Not only will the new Equinox be available in both the US and Canada, it is...
by - December 9, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries