As part of our ongoing research into Chinese investments in the US, Datenna decided to highlight and research remarkable cases. This case considers the acquisition of Nexteer Automotive.

The Acquisition of Nexteer Automotive

The Acquisition of <br> Nexteer Automotive

<p>In November 2010, China’s Pacific Century Motors acquired Nexteer Automotive in what Nexteer called “the single largest Chinese investment in the global automotive supplier industry”.</p>
<h3>Nexteer Automotive</h3>
<p>Nexteer Automotive is a supplier of automotive parts headquartered in Michigan. It was founded in 2009 by General Motors as a successor of the bankrupt Delphi Steering. Its core products are electric and hydraulic power steering systems, driveline systems, and software solutions for ADAS/automated driving. Nexteer maintains 26 manufacturing plants and 13,000 employees across the globe. Its customers include all major automotive companies, such as BMV, Peugeot, Ford, Renault, Toyota, Volkswagen, and others.</p>
<h3>Pacific Century Motors</h3>
<p>Pacific Century Motors was founded in 2010 and has two major shareholders. A 49% stake is owned by Beijing Yizhuang International Automotive Investment Management Limited, a wholly owned subsidiary of Beijing E-town International Investment and Development Co., Ltd. Beijing E-Town is a developmental agency controlled by the Financial Audit Bureau of Beijing Economic and Technological Development Zone, a part of the Chinese government. It supervises the Beijing Economic-Technological Development Area (BDA) in Beijing’s Daxing district in an effort to promote high tech manufacturing in Beijing. The acquisition of Nexteer was one of the earliest outbound investments by Beijing E-Town. Since then, it has followed up with several acquisitions in aviation, automotive, telecom, and semiconductor industries.</p>


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The Acquisition of
Nexteer Automotive

As part of our ongoing research into Chinese investments in the US, Datenna decided to highlight and research remarkable cases. This case considers the acquisition of Nexteer Automotive.

Stay tuned, we will publish this case study soon!