Sage Automotive Interiors to acquire Adient’s automotive fabrics business
Expansion in European automotive markets
March 6, 2020
Asahi Kasei Corp.
Sage Automotive Interiors (Sage), an Asahi Kasei subsidiary based in South Carolina, the US (CEO: Dirk Pieper), has concluded an agreement with Adient plc on March 5, 2020 (US Eastern time), to acquire Adient’s automotive fabrics business for $175 million (approximately ¥18.8 billion at exchange rate of ¥107.36 per US$ on March 5 Japan time).
Centered in the US, Sage develops, manufactures, and sells various fabric materials for automotive interiors, and is one of the world’s leading suppliers of vehicle seat fabric with a firm established presence among automotive OEMs and Tier-1 suppliers. To facilitate further growth, Sage had sought to expand its footprint in Europe, the largest market for automotive interior fabric and the source of innovative automotive trends.
By acquiring Adient’s automotive fabrics business, Sage will gain several operating sites around the world centered in Europe. The business to be acquired has a strong reputation for design and quality among Europe’s major vehicle manufacturers, and is one of the leading suppliers in the European market for automotive seat fabric.
The agreement for the acquisition was reached based on a recognition that Adient’s automotive fabrics business with its strengths in marketing, manufacturing, and development centered in Europe would complement Sage’s strengths and enable the combined business to create positive synergies while further expanding in Europe.
By advancing its regional strategy and product strategy around the world to reinforce its position as one of the leading suppliers of vehicle seat fabric and strengthen its relationships with automotive OEMs in each region, Sage is expected to make a growing contribution to the Asahi Kasei Group’s overall expansion of business in the automotive field.
Completion of the acquisition is subject to obtaining regulatory clearance and other customary closing conditions.
Corporate Profile of Adient
- Company name
- Adient plc
- Plymouth, Michigan
- Doug Del Grosso
- Development, manufacture, and sale of automotive seating