Article: Mannesmann Strengthens Automotive Sector, Purchase of Philips Car Systems

DUSSELDORF, Germany, Oct. 23 /PRNewswire/ -- Mannesmann VDO and Philips Electronics N.V. (NYSE: PHG) have signed a letter of intent whereby Mannesmann VDO will acquire a 65% share of Philips Car Systems (PCS). Under the agreement Philips will transfer the remaining shares to Mannesmann VDO after a period of two years. The respective final agreements are to be signed by the end of this year, subject to corporate and regulatory requirements. The agreed value of the PCS business is approximately hfl 1.5 billion on a debt free basis.

PCS is a leading supplier of in-car navigation and related communication/telematics systems and audio entertainment products. ...






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