Lear Corp., a global automotive technology company based in Southfield, today announced it has completed the acquisition of substantially all of Kongsberg Automotive’s interior comfort systems (ICS) business unit for $198 million.
Lear acquired the ICS business unit on a cash and debt-free basis, funded through debt financing completed in 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 centers on three continents. It is expected to generate revenue of approximately $200 million this year.
“Lear is leading an era of unprecedented evolution and growth in automotive seating innovation. 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,” says Ray Scott, president and CEO of Lear.
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 and ventilation, and massage and lumbar support.
“Personal transportation is continuing to change with advancing electric vehicle and autonomous driving technologies, and consumers placing a higher emphasis on interior comfort,” says Frank Orsini, executive vice president and president of seating at Lear.
“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.”