Luxshare invests in Leoni
A new partnership has been established: With Luxshare's investment, Leoni AG, and its Wiring Systems Division (WSD), gain a powerful shareholder, enhancing market access, technological innovation, and financial stability.
At the same time, the Luxshare subsidiary TIME Interconnect Singapore will acquire the Automotive Cable Solutions (ACS) division from Leoni AG.
A legally binding agreement has been signed under which Austrian entrepreneur Stefan Pierer and China’s Luxshare have agreed that the Chinese company will acquire a 50.1% stake in Leoni AG, which was previously fully owned by Pierer.
“Having Luxshare as a strong strategic partner will significantly enhance LEONI’s competitiveness across all fronts – from portfolio expansion and market access to technological capabilities and production,” said Klaus Rinnerberger, CEO of Leoni AG in a press release.
“We are excited about the potential of this partnership. By combining our strengths, we will not only expand our global footprint but also drive innovation and deliver greater value to our customers,” adds Grace Wang, Chairman and CEO of Luxshare Group.
The combination of Leoni's connections with the European and American automotive industries with Luxshare presence in China, will enable both companies to maximise their market potential.
Luxshare's expertise in connectors and electronics will also further enhance Leoni WSD’s ability to provide integrated solutions. In return, Luxshare will leverage Leoni's knowledge in the wiring systems business.
LEONI’s operational strengths in Eastern Europe, North Africa, and the Americas, alongside LUXSHARE’s extensive production capabilities in China and Vietnam, will enable both partners to meet regional customer needs with flexibility while maintaining global competitiveness.
In a parallel transaction, TIME Interconnect Singapore – a joint venture between Luxshare subsidiaries Luxshare-ICT and TIME Interconnect Technology – will acquire 100% of Leoni AG’s ACS division. Following the carve-out, ACS will continue to position itself as a leading independent manufacturer of automotive cables.
