Struggling German auto supplier Continental to set unit
German auto supplier Continental announced on July 4 a 4-billion-euro ($4.6-billion) deal to sell a division to a U.S. investment group, the latest move in a major restructuring.
Continental, which has been struggling amid a crisis in the wider European auto sector, has been slimming down its operations to focus on its traditional tyre business.
The group has signed an agreement to sell its ContiTech division, which makes plastic and rubber products for industrial clients, to private equity firm Lone Star Funds, according to a statement.
As well as the 4-billion-euro sale price, Continental could receive up to 250 million euros more in coming years, depending on the business's performance.
