SEOUL, South Korea—Hankook Tire Co. Ltd. expects its decision to invest in Halla Visteon Climate Control Corp. to generate “synergistic opportunities” that will contribute to the tire maker's “continued commitment” to growth, the company said in a prepared statement.
Halla Visteon's majority owner Visteon Corp. disclosed Dec. 17 that Hankook and Korean equity investment firm Hahn & Co. have agreed to buy Visteon's 70 percent stake in HVCC for about $3.6 billion.
The agreement calls for Hahn & Co. to own a 50.5 percent stake in HVCC and Hankook a 19.49 percent share, which would value Hankook's investment at about $100 million.
In its statement, Hankook said it based its decision to invest in HVCC on the supplier's “stable operating and financial performance” and its global portfolio in the auto industry.
“This significant investment demonstrates Hankook Tire's continued commitment to growth and to increase its competitiveness worldwide,” said Seung Hwa Suh, vice chairman and CEO of Hankook Tire.
“We expect to further contribute to global auto makers with combined market position and fostering strong synergy.”
HVCC is described as a full-line supplier of automotive thermal management solutions. Its products include heating ventilation and air conditioning; compressors; powertrain cooling; fluid transport; and electric, hybrid and fuel-cell vehicle thermal systems.
The company maintains 36 manufacturing sites and four global technical centers in 19 countries and employs about 15,500.