Updated: Japan's Teijin Ltd. has agreed to acquire Auburn Hills, Mich.-based composites specialist Continental Structural Plastics Holding Corp. for $825 million.
Through the acquisition, Teijin aims to secure North American sales channels for automotive composite products. CSP, which will become a wholly owned subsidiary of Teijin, operates 14 locations globally, 11 of which are located in the United States.
“Through this transaction, Teijin aims to become an automotive solution provider by expanding its offerings beyond carbon fiber and glass fiber materials, in collaboration with other materials manufacturers,” reads a Sept. 13 news release. “Teijin intends to expand its product portfolio from materials to component design, implement a global supply chain and help achieve vehicle weight reductions in order to comply with tighter environmental regulations being introduced after 2020.”
CSP supplies lightweight composite materials and molded parts for automotive and other industries, with sales of more than $634 million reported last year. As a major producer of carbon and aramid fibers as well as thermoplastics, Teijin offers complementary expertise to CSP's operations in glass fiber- and carbon fiber-reinforced composites and thermosets, said Frank Macher, CSP's CEO, in a telephone interview.