The company, created in 2022 from the merger of France's Faurecia and Germany's Hella, returned to profit in 2023 but unveiled the plan to achieve 500 million euros (USD 540 million) in savings by 2028.
This is a significant step in the decarbonization of the mobility industry and illustrates Symbio’s technological excellence in hydrogen fuel cell innovations. The addition of Stellantis as a shareholder will boost Symbio’s development across Europe and in the US, the companies said.
Faurecia said it expects the plant in the northern border state of Nuevo Leon, serving clients such as Volvo and Stellantis, to produce more than 2 million vehicles' worth of car seats a year by 2025.
The group forecast full-year sales of between 24.5 billion and 25.5 billion euros ($23.9 and $24.9 billion), citing a positive currency boost of 272 million euros. It also raised its estimate for global production of light vehicles by 3 million to 77 million.
The company aims to create affordable clean mobility solutions by developing and industrialising a new generation of hydrogen tanks, both gaseous and liquid, by the end of 2027, it said in a statement.
General Motors currently holds this stake in Stellantis in warrants, which it will convert into equity shares for Stellantis to purchase on Thursday, according to the statement.
The truck model will showcase around 30 lighting and electronics products from Hella, as well as a complete hydrogen storage system from Faurecia, a company release said.
The group, which sealed its takeover of German automotive lighting group Hella in January, reported an operating profit of 426 million euros ($434.5 million) for the first six months of 2022, corresponding to a margin of 3.7%.
Forvia predicted sales of around 23 billion-24 billion euros this year, with a profit margin of 4%-5%.
The joint venture is expected to be established by the end of 2022, subject to customary precedent conditions such as applicable merger control clearances. The JV will start its production in early 2024.
Faurecia sealed the purchase in February, creating a combined group named Forvia, which is set to become the seventh-largest automotive supplier in the world.
The collaboration, under which recycled plastics will be used in instrument panels, door panels and centre consoles in cars across Europe, will reduce Faurecia's carbon footprint, helping it advance its CO2 neutrality plan, and expand Veolia's product range to vehicle interiors.
Tech giants like Google and Amazon.com Inc are in a race for a bigger share of the growing vehicle infotainment market. Faurecia-Aptoide's deputy general manager, Thomas Belin, told Reuters the Mercedes contract helps boost his company's position.
Olivier Durand will take over as group CFO effective from July, said the group, though he will continue to supervise activities at the group's Clarion Electronics branch.
The group, which supplies car seats, dashboards and fuel systems to automakers, now sees 2022 sales of 17.5-18 billion euros ($19.89-20.45 billion), up from 15.6 billion euros recorded last year.
Under FORVIA, both the companies will keep their legal names as Faurecia SE and HELLA GmbH & Co. KGaA. Faurecia and HELLA will continue to operate as two independent legal companies, closely collaborating to create sustainable value for all stakeholders, an official statement said.
Faurecia’s acquisition of Hella is a unique opportunity for two advanced technology companies to accelerate their transformation, achieve critical size and leading positions in electronics and lifecycle Solutions," said Faurecia on Monday.
Faurecia is holding talks with three big carmarkers in the North American market - General Motors, Ford and Stellantis - to promote its hydrogen-derived electric solution for pickup trucks, the spokesperson said.
The company now forecast 2021 sales of between 15-15.5 billion euros ($16.92 to $17.49 billion) and an operating profit margin of 5.5%, compared to a previous target of sales at 15.5 billion euros and a 6-6.2 percent margin.
The group, which supplies car seats, dashboards and fuel systems to automakers, reported sales of 3.43 billion euros ($3.99 billion), compared to 3.82 billion euros in the same period of 2020.
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