Johnson Controls is offering Visteon $1.25 billion in cash for its interiors and electronics businesses.
Visteon has confirmed it received an unsolicited proposal from Johnson Controls and issued the following statement:
“Despite Visteon’s request for additional clarification in a May 17 letter to Johnson Controls, the proposal continues to lack important information and remains highly conditional and vaguely defined. It is unclear at this point whether this proposal holds out any real prospect of enhancing value to Visteon’s constituents.
This proposal has surfaced very late and at a critical point in our Chapter 11 process. Johnson Controls is a direct competitor that stands to benefit by introducing delay and complexity into the Visteon reorganization process.
Visteon has had extensive and difficult experiences with Johnson Controls in prior transactions. We are mindful that exploring a transaction of this size and scope at this time could distract the company from its primary objective of completing the ongoing reorganization process in a manner that enhances value for all of our constituents.”
Source: Visteon, The Detroit News.