Panasonic Plans to Sell Stake in Autos Business to Apollo Global
Panasonic, Tokyo Japan’s it Holdings announced on Friday that it has inked a memorandum of understanding with an Apollo affiliate and intends to sell a portion of its automotive systems business to funds run by American private equity company Apollo Global Management. Following the announcement, its’s stock shot up 5.5% in Tokyo trading. It sent a press statement stating that “the parties will continue to discuss exclusively with the goal of finalising the details of the agreement by March 31, 2024.”
Panasonic said that it could list the company in the future. In light of the quick transition to electric vehicles and the evolving vehicle design, It stated that the company will need to maintain its investment in the automotive systems division in order to achieve continuous success. The automobile division manufactures electronics and cockpit equipment. It is not to be confused with It’s energy division, which produces batteries for electric cars, notably Tesla models.