STOCKHOLM (June 13, 4:05 p.m. ET) — Swedish automotive supplier Autoliv Inc. is divesting its Autoliv Mekan subsidiary, a manufacturer of seat components, to Vertygs Allians I Hässleholm AB, a privately owned company.
Terms were not disclosed. Autoliv spokesman Mats Ödman said Autoliv is making the sale to focus on its core business.
“Autoliv Mekan manufactures parts for seta while Autoliv wants to focus on other areas,” he told European Plastics News. “Our core businesses are seatbelts and airbags.”
Autoliv Mekan has annual sales of SEK 260 million ($37 million) and was formed as a holding company for companies operating in the tooling and production engineering sectors. It has 130 employees and is based in Hässleholm, Sweden.
In a statement, Autoliv CEO Jan Carlson said the deal will “generate subsidiaries between our former subsidiary and the new owner and could provide new customer groups for Autoliv Mekan.”
The name of Autoliv Mekan will be changed to Läreda Mekan.