Faurecia in $409 Million Acquisition of EMCON Technologies

Cleary Gottlieb is representing Faurecia in the acquisition of EMCON Technologies, a leading supplier of emissions control technology solutions for passenger and commercial vehicles. The deal, which was announced on November 2, is expected to close at the end of January 2010. Once the deal is completed, EMCON Technologies will join Faurecia’s Exhaust Systems Division to form Faurecia Emissions Control Technologies.

At closing, Faurecia will issue 20.9 million new shares to Emcon’s principal shareholder, an affiliate of One Equity Partners (a JP Morgan private equity fund manager). The new shares have a value of approximately €276 million ($409 million) based on the closing price of Faurecia’s shares on Euronext Paris on October 30.

The transaction is subject to approval by antitrust authorities, mainly in the United States and Europe, and to the vote of Faurecia shareholders. Faurecia is controlled by Peugeot SA, one of Europe’s leading automobile manufacturers, which has agreed to vote in favor of the transaction.