Merger & ACquisition
KKR completes its investment in LS Automotive
KKR has completed its investment in LS Automotive (“ LSA ”), an electrical auto parts maker for the global automotive industry , and has completed the acquisition and carve-out of KCF Technologies Co ., Ltd . (“ KCFT ”), the copper foil and flexible copper clad laminate business formerly known as LS Mtron .
By leveraging KKR ’ s expertise and global network , KKR ’ s partnership with LSA and KCFT will accelerate the companies ’ growth in domestic and overseas markets , help to penetrate new verticals , and increase sales in existing markets . Further , KCFT will leverage KKR ’ s expertise in completing complex , strategic carve-outs from corporations worldwide and supporting these companies in operating as independent entities .
Established in 1973 , LSA is a leading auto parts company in South Korea that has successfully established globally competitive positions in high-growth auto component segments including switches , interior lamps and human machine interface (“ HMI ”) systems , and electrical and electronics components such as power seat modules , electrical control units , sensors and relays . LSA is the top Tier- 1 supplier of HMI components to Hyundai Kia Motors , as well as major global original equipment manufacturers (“ OEMs ”) in the U . S . and Japan , and leading local OEMs in China and India .
KCFT manufactures and sells copper foils for large capacity lithium-ion batteries for electric vehicle (“ EV ”) applications and mobile devices . The copper foil business for EV battery applications is expected to be among the fastest-growing segments of the auto industry due to rising demand for environmentally friendlier transportation . KCFT supplies global EV battery leaders including LG Chemical and major battery manufacturers in Japan and China .
KKR makes its investment from its US $ 9.3 billion KKR Asian Fund III .
About KKR
KKR is a leading global investment firm that manages multiple alternative asset classes , including private equity , energy , infrastructure , real estate , credit and , through its strategic manager partnerships , hedge funds . KKR aims to generate attractive investment returns by following a patient and disciplined investment approach , employing worldclass people , and driving growth and value creation with KKR portfolio companies . KKR invests its own capital alongside its partners ’ capital and provides financing solutions and investment opportunities through its capital markets business .
About LS Automotive
Established in 1973 , LS Automotive is a vehicle components manufacturer based in Korea with a global presence . In 2008 , the company was acquired by LS Mtron as part of LS Group ’ s efforts to further strengthen its competitiveness in auto components .
About KCF Technologies
Established in 1996 as a copper foil business segment of LG Metal , KCFT is a globally leading producer of copper foils and flexible copper clad laminate manufacturing business www . kkr . com
may 2018 Global MDA Journal 13