STOCKHOLM, Sweden--(BUSINESS WIRE)-- Autoliv Inc. (NYSE:ALV)(STO:ALIV), the worldwide leader in automotive safety, has completed the previously announced acquisition of the automotive radar sensors business of Tyco Electronics Ltd. (NYSE:TEL) for US $42 million.
This radar sensor business was a "carve-out" of the Radio Frequency and Subsystems business unit within Tyco Electronics. Considered one of the market-leading suppliers of automotive radar sensors in the world, the business designs and manufactures active radar proximity and attribute sensor systems used in vehicle driver assist and safety applications for the global automotive market, and is Daimler's development partner for automotive radar sensor technology.
The technology and intellectual property included in the transaction includes short-, medium- and long-range radar products. Automotive safety system applications for this technology include blind spot and collision warning, lane change assist, adaptive cruise control, collision mitigation by braking and side pre-crash sensing, along with back-up and park assist functions. The technology can also be used to trigger other vehicle safety features such as active bumpers, structures, knee bolsters and active seatbelts.
This business includes approximately 115 highly specialized technical, commercial and manufacturing employees who will support the activities required to intensify Autoliv's efforts in the growing automotive active safety market.
This acquisition enables Autoliv to leverage existing customer relationships and safety system capability to increase its strong market position in automotive safety electronics and immediately become one of the largest suppliers of automotive radar products in the world. Existing customers, along with Daimler, include BMW and Chrysler along with other non OEM customers. "This strategic acquisition will undoubtedly be an important ingredient in our intensified efforts to improve small car safety by creating a 'Virtual Crash Zone' around the vehicle" said Mr. Jan Carlson, President and CEO of Autoliv.
It is Autoliv's expectation that this acquisition should not materially impact Autoliv's earnings in 2008 and have an accretive earnings per share effect in 2009.
About Autoliv
Headquartered in Stockholm, Autoliv Inc. develops and manufactures automotive safety systems for all major automotive manufacturers in the world. Together with its joint ventures, Autoliv has more than 80 facilities with 42,000 employees in 30 vehicle-producing countries. In addition, the company has technical centers in eleven countries around the world, including 20 test tracks, more than any other automotive safety supplier. Sales in 2007 amounted to US $6.8 billion. The Company's shares are listed on the New York Stock Exchange (NYSE: ALV) and its Swedish Depository Receipts on the Stockholm Stock Exchange (SSE: ALIV).
About Tyco Electronics
Tyco Electronics Ltd. is a leading global provider of engineered electronic components, network solutions, undersea telecommunication systems and wireless systems, with 2007 sales of $13.0 billion to customers in more than 150 countries. The company designs, manufactures and markets products for customers in industries from automotive, appliance and aerospace and defense to telecommunications, computers and consumer electronics. With over 7,000 engineers and worldwide manufacturing, sales and customer service capabilities, Tyco Electronics' commitment is its customers' advantage.