Electrolux to divest Memphis factory
Swedish whitegoods company Electrolux says that it will divest its manufacturing facility in Memphis, Tennessee, USA – including certain equipment, for a cash consideration of USD 82.5 million.
However, the company states in a press release that the completion of the transaction is contingent on various factors. The agreed purchase price is USD 82.5 million.
The approximate gain of USD 65.8 million will be recorded as a non-recurring item, positively impacting the operating income in the business area of North America, in connection with the closing of the transaction. Closing is expected to occur during the fourth quarter of 2022.
Electrolux production in Memphis stopped on June 30, 2022, and the operations have been transferred to the new facility in Springfield, Tennessee.