Finnish contract manufacturer Valmet Automotive, which builds the Porsche Boxster and Cayman, has completed its purchase of insolvent German supplier Wilhelm Karmann GmbH's European roof business.
No financial terms were released on the deal, which has been approved by German competition authorities, Karmann's insolvency administrator said in a release today.
Valmet gets control of Karmann's factory in Osnabrueck, Germany, and its operations in Zary, Poland.
In previously completed transactions, Canadian supplier Magna International Inc. got control of Karmann's operations in Japan while Germany's Webasto AG took control of Karmann's U.S. business and a factory in Mexico.
In May, German antitrust regulators blocked Magna's planned takeover of Karmann's European roof division because it feared that the combination of Magna and Karmann would have led to there being only two big suppliers in the sector.
Regulators were concerned that if they approved the acquisition, Magna/Karmann and Germany's Webasto, which recently acquired the roof unit of German supplier Edscha, would dominate the market for convertible roofs. They believed the lack of competition would lead to higher prices.
The value of Europe's convertible roof business was about 600 million euros (about $733 million) in 2009.
Valmet has been producing the Porsche Boxster since 1997 and the Cayman since 2005 at its plant in Uusikaupunki, Finland.