Detroit, Michigan – General Motors has sold its GM Global Steering Holdings, commonly known as Nexteer, to Pacific Century Motors in China. The Nexteer business is headquartered in Saginaw, Michigan, with 22 manufacturing facilities, six engineering facilities and 14 customer support centres in North and South America, Europe and Asia.
Pacific Century Motors (PCM) is an entity formed by the Tempo Group and an affiliate of the Beijing municipal government. Terms of the sale were not disclosed.
“The sale of Nexteer to PCM supports our objective to focus on our core auto business and is the final step in our efforts to position Nexteer as an independent supplier,” said Stephn Girsky, vice-chairman of corporate strategy and business development for GM. “The sale better enables Nexteer to take advantage of anticipated growth in the global auto industry with a variety of automakers. Ultimately, it’s a move we believe will make it a more vibrant and healthier business.”
Pending regulatory approvals, the transaction is expected to close by the end of the year. Nexteer designs, engineers, manufactures and sells electric and hydraulic power steering, steering columns and driveline half-shafts for over 60 automobile manufacturers and tier-one suppliers, and employs approximately 6,200 people.