Johnson Controls, Saft to End Battery Partnership
Johnson Controls (NYSE: JCI) and Saft (Euronext: SAFT) announced Friday that they have reached an agreement to end their joint venture to manufacture advanced batteries for the autmotive industry.
JCI will take control of all operations at a plant currently under construction in Holland, MI—a project that was awarded nearly $450 million in state and federal incentives in 2009. Saft will retain a plant in France, where the company is based.
Under the terms of the agreement, Johnson Controls will buy out Saft’s share of the joint venture for $145 million. Johnson Controls will also pay Saft an up-front royalty to license certain Li-ion battery technology. The transaction could close as early as September 30.