Source: Veoneer announcement
STOCKHOLM — The automotive technology company, Veoneer, Inc. (NYSE: VNE and SSE: VNE SDB), has completed the divestiture of its U.S. brake control business to ZF Friedrichshafen AG. The parties will collaborate on a transition plan for a limited period as part of the divestiture process.
On April 23rd, Veoneer announced the signing of an initial agreement to divest the US brake control business. As communicated earlier, with the divestiture Veoneer expects to achieve reductions of negative cash flow for 2020 and 2021. The agreed purchase price is $1, net.
In early 2019, the company announced a strategic review of its brake control systems business. In February 2020, Veoneer announced the completion of the divestiture of the Japan and China operations of its brake system joint venture.
Veoneer to Sell Its U.S. Brake Control Business
Veoneer, Inc. is a worldwide leader in automotive technology. Its purpose is to create trust in mobility. The company designs, manufactures and sells state-of-the-art software, hardware and systems for occupant protection, advanced driving assistance systems, and collaborative and automated driving to original equipment manufacturers (OEMs) globally.
Headquartered in Stockholm, Sweden, the company has 7,600 employees in 13 countries. In 2019, sales amounted to $1.9 billion. The company is building on a heritage of close to 70 years of automotive safety development. In 2018, Veoneer became an independent, publicly traded company listed on the New York Stock Exchange (NYSE: VNE) and on the Nasdaq Stockholm (SSE: VNE SDB).