“This proposal has surfaced very late and at a critical point in our Chapter 11 process. Johnson Controls is a direct competitor that stands to benefit by introducing delay and complexity into the Visteon reorganization process,” Visteon says in a release.
“Visteon has had extensive and difficult experiences with Johnson Controls in prior transactions. We are mindful that exploring a transaction of this size and scope at this time could distract the company from its primary objective of completing the ongoing reorganization process in a manner that enhances value for all of our constituents."
According to Bloomberg, Johnson Controls offered an unsolicited $1.25 billion for Visteon’s interiors and electronics businesses. An offer which, Visteon says, “lacks important information and remains highly conditional and vaguely defined.”
Johnson Controls however says its offer "would provide value to the equity constituency."
"We believe that Johnson Controls and our offer will not only be well received by your debt and equity holders, but also by your joint venture partners, customers and suppliers," Johnson Controls CEO Stephen Roell says in a letter cited by Freep.com.
Visteon is currently engaged in a bitter fight with its shareholders, who are left out of the reorganization plan submitted in court. Johnson Controls does nothing but complicate this relationship.
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