20 Dec 2022
Magna International to acquire Veoneer Active Safety business from SSW Partners for $2,082,039,300
Veoneer, a notable automotive technology company, has agreed to sell its Active Safety business to Magna International Inc., a prominent mobility technology company, for $1.525 billion in cash. The strategic acquisition aims to combine Veoneer's expertise in Active Safety with Magna's Advanced Driver Assistance Systems (ADAS) business, creating a comprehensive suite of ADAS solutions for customers. The deal is expected to be finalized around mid-year 2023, pending regulatory approval and standard closing conditions. This comes after SSW Partners acquired Veoneer in April 2022 for an impressive $4.6 billion in an all-cash transaction.
On June 1, 2023, Veoneer officially announced the successful completion of the sale, which was initially disclosed on December 20, 2022.
The acquisition significantly strengthens Magna's active safety business, enabling them to address the complexities of advanced software, system integration, and other challenges in the automotive industry. By combining Veoneer's capabilities with Magna's ADAS offerings, the new entity is well-equipped to deliver a comprehensive range of solutions to customers. With sales projections exceeding $3 billion in 2024, the combined business is poised to become a leading player in the fast-growing automotive sector, offering an extensive active safety portfolio that includes essential sensors, central computer systems, and cutting-edge software solutions.
The successful conclusion of the deal reinforces Magna's position as one of the few suppliers capable of navigating the evolving automotive landscape, positioning the company for sustained growth and innovation in the future.
