11 Nov IAC Group And Malaysia-Based Automotive Parts Manufacturing Group To Establish Joint Ventures In Malaysia And Thailand
Agreements represent IAC Group’s first entry into ASEAN region
LUXEMBOURG, (November 1, 2011) – International Automotive Components (IAC) Group today announced its agreement to form two joint ventures with Malaysia-based APM Automotive Holdings Berhad (APM), an automotive parts manufacturing group. The proposed agreements are subject to approval by Malaysian and Thai regulatory authorities. The joint ventures in Malaysia and Thailand will be IAC Group’s first investments in the ASEAN (Association of Southeast Asian Nations) region, continuing the tier-one supplier’s rapid expansion across Asia and reinforcing its global leadership position in the vehicle interiors segment.
“IAC considers the ASEAN region to be very important and is pleased to be joining with APM in these joint ventures,” said James Kamsickas, Global Co-CEO and President of North America and Asia, IAC Group. “APM and IAC share similar visions for business, along with core competencies and experience in automotive interiors, comprehensive manufacturing capability and commitment to providing exceptional customer satisfaction,” he continued. “We look forward to demonstrating our combined capabilities to OEM customers in the region.”
The joint ventures will offer design, engineering and manufacturing for a wide range of vehicle interior components and systems, including instrument panels, door panels, floor consoles, interior trim, flooring and acoustics, overhead systems and package trays, as well as exterior components, such as fascias and rocker panels. IAC Group and APM see potential opportunities to support both multinational and domestic OEMs operating in the region.
APM, a regional automotive supplier of automotive interior products and solutions, will contribute automotive supply expertise and will provide significant business experience in the region. IAC Group will provide design, engineering and manufacturing expertise, along with a global infrastructure which supports leading automotive manufacturers as they expand vehicle platforms into the ASEAN region.
In Malaysia, the joint venture will be called APM IAC Automotive Systems Sdn Bhd, in which APM will hold the majority 60% equity interest. This joint venture will be supported by existing APM manufacturing facilities in the region. The Malaysian joint venture will pursue new business opportunities with both multinational and Malaysian OEMs.
In Thailand, the joint venture will be called IAC APM Automotive Systems Ltd., in which IAC Group will hold the majority 60% equity interest. This joint venture will establish the necessary infrastructure to achieve its strategic objective to support the OEMs in Thailand.
“The joint ventures will allow APM to extend its core capabilities by providing modular systems to our existing OEM customers in Malaysia as well as new OEMs in the ASEAN region,” said Executive Director of APM, Dr. Fun Woh Peng.
The joint ventures with APM follow strategic expansion by IAC Group earlier this year in Asia, including the opening of a second manufacturing facility in Chakan, India in March 2011. Additionally, in January 2011, the company acquired Manesar-based Multivac India Private Limited, a tier-one supplier of vehicle headliners, instrument panels, interior trim and door panels to key global vehicle manufacturers. These strategic transactions in the ASEAN region, along with significant investments in China and Japan, have further expanded IAC Group’s footprint in key flourishing automotive areas of the region.
ABOUT APM AUTOMOTIVE HOLDINGS BERHAD
APM is one of the leading automotive component suppliers to original equipment manufacturers and assemblers in Malaysia. Apart from interiors and seating, the APM group of companies provides automotive suspension, climate control and electrical solutions to local and multinational OEMs in Malaysia. Outside Malaysia, APM has operations in Indonesia, Vietnam, Australia and the United States. For more information, visit www.apm.com.my.