Samsung SDI, a leading energy solutions firm, said Monday that it had agreed to acquire the battery pack business of Magna International, a global automotive supplier.
The acquisition is expected to enhance Samsung SDI’s capabilities in batteries for electric vehicles by combining its established leadership in battery cells and modules with Magna’s expertise in battery packs.
Magna’s advanced technology for battery packs will also help Samsung SDI expand its customer base in the fast-growing automotive battery markets in Europe, North America and China.
“The acquisition is a key strategic step for Samsung SDI to strengthen the competitiveness of our automotive battery business,” said Cho Nam-seong, the chief executive of Samsung SDI.
Under the agreement, Samsung SDI will acquire the battery pack business from Magna Steyr, an Austria-based operating unit of Magna International, including its 264 employees, production and development sites, and current contracts.
The financial terms of the deal will not be disclosed. The acquisition process is expected to be completed during the first half of 2015.
