MILAN (Reuters) - Fiat Chrysler (FCA) (FCHA.MI) agreed to sell its Teksid cast iron automotive components business to Brazilian Tupy (TUPY3.SA) for an enterprise value of 210 million euros (179.4 million pounds), the car maker said on Friday.
The closing of the deal - an important step in the group’s business plan - is expected in the second half of 2020.
The sale is not linked to the $50 billion FCA’s planned merger with Peugeot owner PSA (PEUP.PA), which will pave the way to the creation of the world’s fourth-largest carmaker and should be completed in the next 12 to 15 months.
FCA said the sale will not include Teksid’s aluminum business and will concern the unit’s cast iron production facilities in Brazil, Mexico, Poland and Portugal as well as the unit’s share in a joint venture in China.
Reporting by Maria Pia Quaglia, editing by Giulia Segreti