Autoliv to Grab Rest of Norma
NEW YORK (
) -- Auto-safety parts supplier
Autoliv
(ALV) - Get Report
says it intends to make a cash offer for all outstanding shares that the company doesn't already own in its 51%-owned Estonian subsidiary
Aktsiaselts Norma
.
Autoliv, of course, says it forsees a mutually beneficial result.
"Norma is facing certain challenges as vehicle manufacturers require their suppliers to be global ... at the same time, system suppliers such as Autoliv have a need for efficient and financially solid component manufacturers such as Norma," Autoliv's chief, Jan Carlson, said.
Carlson adds that the developing of new technologies is expensive for small players like Norma, which could benefit from Autoliv's resources in this regard.
Autoliv's chief also says the transaction will help make it easier to coordinate sales to Russian plants for Autoliv's global customers.
Autoliv says it will file an offering prospectus for approval by the Estonian Financial Supervisory Authority Monday.
-- Reported by Andrea Tse in New York
Follow TheStreet.com on
and become a fan on
Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
