The deal will cost Johnson an undisclosed amount of money, but will give it access to an expanding market. The completion of the sale is expected to conclude in the first half of next year.
The 4,750 employees working for the two companies in seven countries will pass on the pay rolls of the automotive supplier. So far, the buyer did not announce plans to cut the workforce.
"This acquisition further strengthens our metal components and mechanisms business through the addition of the Keiper and Recaro brands which are synonymous with quality, technical expertise and innovation," said Beda Bolzenius, Johnson Controls vice president.
"It provides leading technologies that we can leverage across our current seat component portfolio, and expand in China and North America."
Keiper specializes in manufacturing mechanisms that adjust the seat's length and height, recliners that adjust the backrest position of vehicle seats, and rear seat latches. Recaro, on the other hand, needs no other presentation, being present in almost all cars which mean something for the industry.
"We are pleased that our team will become part of such a successful organization. Being part of Johnson Controls will provide a unique opportunity for our company to best meet the future challenges of our industry, such as fast-growing globalization and platform standardization," added Martin Putsch, Keiper Recaro Group CEO.
Google News