GM says to pursue sale of Nexteer steering unit

By @ibtimes on

DETROIT - General Motors Co said on Thursday it will seek to sell its Nexteer Automotive business -- the steering unit the U.S. automaker took back from former parts subsidiary Delphi Corp last year.

GM, which spun off Delphi in 1999, bought back Delphi's global steering operations and its four other U.S. plants in October under a plan to support Delphi's reorganization in bankruptcy. Delphi ended four years in bankruptcy on Oct. 6.

The former Delphi steering business -- renamed as Nexteer Automotive -- has more than 6,200 employees and 15 manufacturing plants in North and South America, Europe and Asia.

The sales process will begin immediately, GM said in a statement. GM intends to identify suitable potential buyers and conclude a transaction as soon as is practical.

Nexteer's customers include GM, Fiat SpA, Ford Motor Co, Toyota Motor Corp, Chrysler Group LLC, PSA Peugeot Citroen, as well as automakers in India, China and South America. Sales to GM account for almost half of its sales.

Its global revenues topped $2 billion in 2008. (Reporting by Soyoung Kim; editing by Gunna Dickson)

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