|By Marketwired .||
|April 21, 2014 04:11 PM EDT||
TORONTO, ONTARIO -- (Marketwired) -- 04/21/14 -- ABC Group Inc., a Toronto based global automotive parts manufacturing company, has sold 100% of its fuel subsidiary, ABC Group Fuel Systems Inc., located in Gallatin, Tennessee, to Rongshi International Holding Company Ltd. which is owned by a state-owned investment holding company, SDIC for an undisclosed amount.
"This acquisition is part of our strategy to support our customers on global programs," according to Mr. Liu Xuewu, the General Manager of Rongshi. "Over the past few years automotive OEMs have been moving to global platforms and we have been working with ABC to support our customers in North America. This acquisition will allow Rongshi to fully realize its potential as a global supplier of automotive fuel systems."
According to ABC Group Chairman and CEO, Helga Schmidt, "the sale of ABC's fuel business was part of our global strategic plan to support our evolving international operations and 6 other expanding business units while continuing to meet our customers' needs. As part of that plan, we recently opened up our fourth plant in Mexico, and are building a new facility in Tennessee. We are excited about the programs and awards that ABC Group continues to win in this dynamic automotive industry. We are sad to see Fuel Systems leave the ABC Group of companies, but we believe that this divesture will result in a win-win-win situation - for ABC, SDIC and our customers."
About ABC Group Inc. (www.abcgroupinc.com)
ABC Group Inc. is one of North America's top tier one automotive parts suppliers. An award winning international success story, ABC Group began in 1974 with a single manufacturing facility in Canada and has grown to become a global manufacturing enterprise. The company employs approximately 5,200 employees and has manufacturing facilities in Canada (Ontario, Alberta, British Columbia), the United States (Michigan, Kentucky, Tennessee, Ohio), Mexico, Brazil, Spain, Poland and China, as well as offices in Japan and Germany.
Rongshi is the overseas investment and financing platform of SDIC, and a wholly-owned subsidiary of SDIC.