Lear Expands Connection Systems Business Portfolio

Rhea-AI Summary

On March 25, 2021, Lear Corporation (NYSE: LEA), a leader in automotive technology, announced its acquisition of M&N Plastics, a Michigan-based manufacturer specializing in engineered plastic components for automotive electrical distribution. This strategic move enhances Lear's vertical integration in producing complex parts such as high-voltage wire harnesses and power electronics. The acquisition aims to bolster Lear's leadership as a Tier 1 supplier and supports future revenue growth in its E-Systems segment through organic investments and enhanced capabilities.

Positive

• Acquisition of M&N Plastics enhances Lear's vertical integration in electrical distribution components.
• Strengthens position as a leading Tier 1 supplier for electrical distribution systems and power electronics.
• Potential for future revenue growth and margin expansion in the E-Systems business segment.

Negative

• None.

SOUTHFIELD, Mich., March 25, 2021 /PRNewswire/ -- Lear Corporation (NYSE: LEA), a global automotive technology leader in Seating and E-Systems, today announced that it has acquired M&N Plastics, a privately owned, Michigan-based injection molding specialist and manufacturer of engineered plastic components for automotive electrical distribution applications.

The addition of M&N Plastics further increases Lear's vertical integration capabilities to engineer and produce complex parts for electrical distribution, including high-voltage wire harnesses and power electronics.

"We are pleased to welcome M&N Plastics to the Lear family. Together we share a track record of commitment to our employees, operational excellence, and exceeding the expectations of our customers," said Carl Esposito, Lear Senior Vice President and President, E-Systems. "This move bolsters Lear's position as the leading Tier 1 supplier of full architecture solutions for both electrical distribution systems and power electronics. When combined with our ongoing organic investments in connection systems, we are significantly enhancing our ability to vertically integrate engineered components, creating both a strong platform for future revenue growth and margin expansion in our overall E-Systems business segment."

M&N Plastics is headquartered in Sterling Heights, Mich., and possesses extensive industry experience and strong technical expertise across its management, engineering, administrative and other functions. The company operates two strategically located manufacturing facilities in El Paso, Texas, and Sterling Heights with state-of-the-art injection molding capabilities – enabling M&N Plastics to be a niche market leader and critical partner to its customers.

"M&N Plastics has made significant investments in manufacturing and engineering, resulting in best in-class production facilities and capabilities," said Terry Nagle, President, M&N Plastics. "We are optimally positioned to contribute to Lear's profitable growth with our industry experience and strong technical expertise in electrical distribution components."

About Lear Corporation
Lear, a global automotive technology leader in Seating and E-Systems, enables superior in-vehicle experiences for consumers around the world. Our diverse team of talented employees in 38 countries is driven by a commitment to innovation, operational excellence, and sustainability. Lear is Making every drive better™ by providing the technology for safer, smarter, and more comfortable journeys. Lear, headquartered in Southfield, Michigan, serves every major automaker in the world and ranks 166 on the Fortune 500. Lear's headquarters are in Southfield, Michigan. Further information about Lear is available at lear.com or follow us on Twitter @LearCorporation

 

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SOURCE Lear Corporation

FAQ

What did Lear Corporation announce on March 25, 2021?

Lear Corporation announced its acquisition of M&N Plastics, enhancing its capabilities in automotive electrical distribution.

How does M&N Plastics contribute to Lear Corporation?

M&N Plastics specializes in engineered plastic components, boosting Lear's vertical integration for complex automotive parts.

What is the significance of the acquisition for Lear's E-Systems segment?

The acquisition supports Lear's growth strategy, allowing for enhanced production capabilities and potential revenue increases.

What products will be impacted by the acquisition of M&N Plastics?

The acquisition will impact the production of high-voltage wire harnesses and power electronics.

Where is M&N Plastics located?

M&N Plastics is headquartered in Sterling Heights, Michigan, with facilities in Texas.