Magna “actively looking” for acquisitions, CEO Walker says

Auto parts maker Magna International Inc. is actively looking for new acquisitions, with both smaller bolt-on acquisitions and larger transformational ones a possibility, CEO Don Walker said.

“We are quite actively looking. We just want to make sure we don’t do anything for the sake of doing it,” Walker said during an auto industry conference, and reported by the Canadian Press. “We want to make sure it’s the right thing to do.”

However, Walker noted that Aurora, Ont.-based Magna is not looking to expand into new product categories – instead, the manufacturer would like to focus on a few key areas where it anticipates future growth.

“We’re the most diversified supplier in the world,” Walker said. “I don’t think that’s a good thing or a bad thing but we have been looking at every one of our product areas. We want to make sure we’re going to be among the best as far as technology. And we’re also trying to align ourselves with areas of the vehicle that will be positively impacted by what we see as the technologies of the cars of the future.”

Magna released its 2015 outlook last week, predicting between US$34.4- and US$36.1 billion in sales this year. This estimate is lower than the US$36.3 billion of annual revenue, including about US$9 billion in the fourth quarter, that Magna is expected to report for 2014.