BURSCHEID, GERMANY (Dec. 9, 11:45 a.m. ET) — Johnson Controls Inc. has acquired the automotive division of Spumotim SA of Romania, a manufacturer of polyurethane foam for the automotive industry.
The Romanian competition authority in Bucharest approved the transaction on 30 Nov. Terms of the transaction were not disclosed.
JCI predicts that the Romanian automotive market will grow by about 80 percent over the next four years. The automotive seating, systems and panel company said the acquisition of Spumotim aligns its production capacity with this anticipated growth.
In addition to foam products, the company produces metal seat components and mechanisms, fabrics and seat covers, as well as complete seats, JCI said in a Dec. 1 news release.
“Romania is an important part of the growing Eastern European automotive market. The acquisition of Spumotim is intended to support several of our customers - Dacia, Ford and Fiat - that operate production facilities in the region,” said Brian Cooke, vice president and general manager of the global foam business unit at Johnson Controls Automotive Experience.
The automotive division of Spumotim SA employs 300. The transaction includes the company's headquarters and plant location in Timisoara, as well as a plant in Pitesti.