Global automotive technology company supplying seating and E-systems, Lear Corporation, on Monday announced it has completed the acquisition of substantially all of Kongsberg Automotive's Interior Comfort Systems (ICS) business unit.
A company statement said that the acquisition will further advance Lear's seat component capabilities and expand product offerings in increasingly popular thermal and comfort seating solutions, such as seat heating & ventilation and massage and lumbar support.
Lear acquired the ICS business unit for €175 million ($198 million) on a cash and debt-free basis, funded through debt financing completed in the fourth quarter of 2021. The ICS business unit brings operational leadership personnel and more than 3,800 employees working in four production facilities and four technical centres on three continents. It is expected to generate revenue of approximately $200 million this year.
Ray Scott, President and CEO, Lear, said, 'As automakers look for greater product differentiation, increased efficiency and improved performance – especially in the luxury, SUV and electric vehicle segments – Lear is offering seating with more integrated thermal and premium features. We are excited to welcome the ICS team to Lear. With a well-earned reputation for talent and experience, the team is a valuable addition to the Lear family.'
Frank Orsini, Executive Vice President and President, Seating, Lear, said, 'Personal transportation is continuing to change with advancing electric vehicle and autonomous driving technologies, and consumers placing a higher emphasis on interior comfort. A perfect complement to our product portfolio, the strategic acquisition of ICS will help us bring new technologies and a complete suite of thermal comfort systems to our customers, allowing us to drive emerging market trends and capture more content per vehicle. With a shared track record of safety, world-class quality and innovation, operational excellence and an unwavering commitment to exceeding customer expectations, we are pleased to welcome the ICS team to Lear.'