Approval on the way for Conti-Siemens deal

Sept. 12, 2007

Continental AG says approval for its acquisition of Siemens VDO's automotive unit is expected to be given by the end of the year.

"Parellel to the on-going approval process, Continental is planning intensively for the integration of Siemens," say Continental officials.

"We have determined the future corporate structures, which provide for three divisions: Chassis and Safety, Powertrain and Interior in place of the current Automotive Systems division, in addition to the two tire divisions and ContiTech.

"At the same time, we are working on implementing the financing firmly agreed upon with the banks for a volume of 13.5 billion, and we assume that a consortium will have been formed by early October."