NOVI, Mich., March 10, 2011 /PRNewswire/ -- Cooper Standard Automotive Inc. announced today that it has signed a memorandum of understanding with Nishikawa Rubber Co., Ltd. providing for the expansion of the existing joint venture relationship between the companies. Cooper Standard and Nishikawa are currently partners in automotive sealing product manufacturing joint ventures in the United States and Mexico. They intend to broaden their relationship into a more global alliance that will enhance the capabilities of both companies to serve their global customers.
Under the memorandum of understanding, the next steps in expanding the relationship involve the sale by Nishikawa to Cooper Standard of a 20 percent interest in Nishikawa's existing sealing business in Thailand and the subsequent sale by Cooper Standard to Nishikawa of a minority interest in Cooper Standard's existing sealing business in Myslenice, Poland.
The parties are also restructuring their existing joint ventures in North America. Nishikawa has acquired additional shares in the U.S. joint venture, returning to its original 60 percent majority position. Cooper Standard will increase its majority position in the joint venture in Mexico. All transactions are expected to be completed within the year. Both companies will continue to operate other sealing businesses outside of the framework of their global alliance.
"The expansion of Cooper Standard's partnership with Nishikawa Rubber Co. into other regions of the world is another important step in our company's strategic global growth plan," said Jim McElya, chairman and CEO, Cooper Standard. "Our relationship with Nishikawa provides both partners with additional opportunities for new business and assists us in providing our customers with a comprehensive body sealing product portfolio that meets their evolving needs on a global basis."
About Cooper Standard
Cooper Standard, headquartered in Novi, Mich., is a leading global supplier of systems and components for the automotive industry. Products include body sealing systems, fluid handling systems and anti-vibration systems. Cooper Standard employs approximately 19,000 people globally and operates in 18 countries around the world. For more information, please visit the company's website at www.cooperstandard.com.
SOURCE Cooper Standard Automotive Inc.