Component producer Hella is to sell its stake in a front-end module producer to its business partner.
Hella owns a third of HBPO Group, which it will sell to partner Plastic Omnium in a deal valued at €290m.
HBPO, headquartered in Lippstadt, Germany, was established in 2004 as a joint venture between three automotive suppliers, Hella, Behr and Plastic Omnium. Behr, now part of Mahle, sold its share to Plastic Omnium in 2018.
Explaining the decision, Hella CEO Michael Favre said: “In order to further sharpen our profile as a focused technology company with Lighting, Electronics as well as Lifecycle Solutions at its core, we have now decided to exit the joint venture. By purchasing our shares in the joint venture, Plastic Omnium will get the opportunity to further increase the focus of HBPO’s development, offering stakeholders a strong outlook.”
In the 2021 calendar year, HBPO generated € 2.2 billion in revenue, and had 2,800 employees at more than 30 locations in Europe, Asia and America.