Meritor Announces Agreement to Sell Ownership Stake in Brazilian Joint Venture
April 30, 2013
Meritor Inc. announced it has signed a purchase and sale agreement to sell its 50% ownership interest in Suspensys Sistemas Automotivos LTDA to its joint venture partner Randon S.A. Implementos E Participacoes.
The purchase price for Meritor's ownership interest is $195 million in cash and other consideration. The agreement is subject to regulatory approvals and other customary conditions. The sale is expected to be consummated by Meritor's fiscal year end.
The Suspensys Sistemas Automotivos joint venture was formed in 2002 and is primarily engaged in the manufacture and sale of air and mechanical suspension systems for trucks, buses and trailers, trailer axles, third axles, hubs and drums for trucks, buses and trailers.