Published: Wednesday, October 17, 2007
Renco to buy Delphi Corp. business
Delphi is selling its
business that makes
TROY, Mich. (AP) The former owner of WCI Steel has agreed to buy the global interiors and closures business of Delphi Corp.
The Renco Group, which owned the Warren steelmaker until last year, said the deal with the auto parts supplier could be completed early next year.
The interiors and closures business includes products such as instrument panels, consoles, door modules and latch systems. Troy-based Delphi says the business has annual revenues of about $1.3 billion and has manufacturing facilities in Alabama, Missouri, Michigan, Germany, Mexico, China and Korea.
Delphi, which has been operating under bankruptcy protection for two years, signed a nonbinding agreement to sell the business to The Renco Group Inc. last February but recently completed a master sale and purchase agreement. Delphi said the agreement has been approved by its board of directors. Terms of the sale are confidential.
Delphi, which is the former parts division of General Motors Corp., expects to emerge from bankruptcy early next year.
Delphi asked the U.S. Bankruptcy Court in New York to hold a hearing on bidding procedures Oct. 25. The company said it anticipates a final sale hearing will be held Jan. 8.
The Renco Group, a New York-based investment company that was formed in 1986, primarily has acquired metal and commodity-related businesses, including mining companies. It also has purchased AM General LLC, which makes humvee military vehicles and civilian Hummers.
It lost control of WCI after filing for bankruptcy court protection. WCI emerged under the ownership of the company's former lenders.