China Private Enterprises Wants to Purchase Second Global Auto Parts Supplier Assets


Times Commercial News According to the First Financial Daily, Wanxiang Group intends to acquire some assets of Delphi Corp., the world's second-largest auto parts supplier, especially the mechanical steering system that overlaps with its own business.

Wan Guanqiu, chairman of Wanxiang Group’s Board of Directors, recently revealed to US media that Wanxiang Group is negotiating with Delphi on the acquisition of some of the latter’s assets in the United States.

President of U.S. President Nie said that Wanxiang Group is very interested in the acquisition of some of Delphi's assets, with particular attention to the overlapping mechanical steering system of Delphi and Wanxiang. However, it is still unknown whether it can be acquired.

With the Delphi North America business in crisis, the Delphi reorganization plan has officially started. At present, many auto parts companies, including the United States Johnson Controls Systems Inc., are beginning to seek involvement in the restructuring of Delphi. At the same time, a detailed plan for the restructuring of Delphi began to spread within the company. "This restructuring plan involves almost all of Delphi's core businesses." On December 20, a Delphi Chinese person confirmed to reporters: "There are not only electronic and control systems but also mechanical and power systems."

The reporter called Wanxiang Group headquarters and a general manager office refused to disclose information on the acquisition. Jiang Jian, vice president of Delphi China, said: "We have no comment on Wanxiang Group's acquisition intention."



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