SOUTHFIELD, Mich., Dec. 1 (UPI) -- Lear Corp., a U.S. auto parts group, is divesting its North American vehicle interior business.
Lear, which did the same earlier this year with its European vehicle interior business, said Friday in a release that it is transferring its North American Interior business to a joint venture with WL Ross & Co. LLC, which is owned by Wilbur Ross, and Franklin Mutual Advisers LLC.
Besides transferring those assets, Lear will contribute $25 million in cash to the venture, International Automotive Components Group North America LLC, for a 25 percent stake in the new entity.
WL Ross and Franklin, meanwhile, will contribute a combined $75 million to IAC North America for the remaining equity, and extend a $50 million term loan.
The Michigan corporation's North American Interior business has annual sales of approximately $2.5 billion.
Lear expects to record a charge this quarter of about $675 million related to the divestiture of the North American Interior business.