KKR to set up auto parts JV with S.Korea's LS Group, buy materials business (updated)

LS

27/07/2017 14:11

(Recasts, adds detail) 
    SEOUL, July 27 (Reuters) - U.S. buyout firm KKR & Co  KKR.N  
has agreed to set up an auto parts joint venture with South 
Korea's LS Group and buy LS' materials business - a deal that 
follows its purchase of Nissan Motor  7201.T  supplier Calsonic 
Kansei last year.  
    KKR's investment implies a combined enterprise value of the 
businesses of about 1.05 trillion won ($924 million).  
    KKR will create the joint venture with LS for LS Automotive, 
an auto parts electronics maker, and will additionally buy an 
affiliate that makes copper foils for large capacity lithium-ion 
batteries used in electric vehicles.  
    KKR will own a 47 percent stake in the joint venture for LS 
Automotive, which makes switches, interior lamps and other auto 
parts for Hyundai Motor  005380.KS  and other global automakers 
as well as top-tier suppliers like Continental  CONG.DE  and 
Delphi. 
    It will make its proposed investment from its US$9.3 billion 
Asian Fund III.          
    In November, KKR & Co said it would buy Calsonic Kansei for 
up to 498.3 billion yen ($4.5 billion) in its biggest deal in 
Japan.  urn:newsml:reuters.com:*:nL4N1DM5C7 
    ($1 = 1,113.0100 won) 
 
 (Reporting by Hyunjoo Jin; editing by Edwina Gibbs and Jason 
Neely) 
 ((hyunjoo.jin@thomsonreuters.com; 82-2-3704-5685; Reuters 
Messaging: hyunjoo.jin.thomsonreuters.com@reuters.net)) 
 
Keywords: LS KKR/