Visteon planning to sell lighting and interiors units

Article by Christian Andrei, on October 31, 2011

Visteon Corp. wants to divest two of its four units to pare low-margin revenue and to concentrate on faster-growing operations in Asia, according to sources. Last October, the U.S. automotive supplier exited a bankruptcy that lasted 16 months. Visteon hopes that other suppliers will be interested in its lighting and interiors units. Last year, these divisions generated about $2.7 billion in revenue and could amount to as much as $450 million when combined.

A source said that Rothschild is representing Visteon in these two plans. On Oct. 17, Visteon said that Goldman Sachs Group Inc. has been hired to do a broader strategic review.

Two sources said that independent board members like Harry Wilson and Tim Leuliette urged Stebbins to interview banks like Goldman, JPMorgan Chase & Co. and Citigroup Inc. to aid in streamlining a company with most of its value in joint ventures or stakes in overseas businesses.

Visteon is a former unit of Ford Motor Co. But then, Don Luciani, a managing partner at Amherst Partners LLC, said that capital is “still relatively scarce." He said that there has been “less patience” for investing in marginally performing business units. Most cases lead to selling, which means that capital companies could reinvest in higher growth, have better return businesses and won’t have to invest in the business. [source: Autonews]

Topics: visteon

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

BMW’s 550i xDrive has long been considered as one of the most successful business sedans in the world. For the brand, this may not be enough as it has officially...
by - January 20, 2017
Amazon is now moving beyond the four corners of online retailing. Only recently, the retail giant has been awarded a patent for its Road Network system. Since the patented technology...
by - January 20, 2017
The newest version of the Lamborghini Huracan is not a Superleggera, but a Performante. When Lamborghini filed for a patent for a new name, there were still debates whether this...
by - January 20, 2017
What is hotter and more menacing than a Hellcat? If we ask Dodge, its answer would be the “Demon.” Of course, we aren’t talking about a demon with horns and...
by - January 20, 2017
The 2018 model year could be an exciting year for fans and enthusiasts of the Chevrolet Corvette. This comes as the 2018 version of the Corvette is bound to feature...
by - January 19, 2017
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