Magna buys European I/M plants

Canadian auto supplier Magna International Inc., based in Aurora, Ont., has signed a deal to buy the European operations of Cadence Innovation LLC, acquiring three injection molding and mold making plants in the Czech Republic and one in Hungary.

The sites include molding and tool making in Liberec in the Czech Republic, along with molding and paint lines in Liban and Nymburk, Czech Republic. Cadence also has majority ownership of an injection molding plant in Esztergom, Hungary.

The four plants reported sales of approximately US$369 million in 2007, and will operate as part of Magna’s Decoma group.

“Central and Eastern Europe are strategically important due to the competitive advantages afforded by the countries in the region,” said Tom Skudutis, chief operating officer Magna global exterior and interior systems.

The companies did not disclose a purchase price.