According to relevant sources, recently, a M&A team led by the Beijing Municipal Government has been in formal contact with Delphi to start the acquisition negotiations on Delphi's non-core businesses that are preparing to spin off: including brakes and suspensions. Delphi has been operating for three years under bankruptcy protection. Beijing hopes to negotiate the acquisition of the aforementioned assets and promote the upgrading of Beijing's auto parts industry. According to informed sources involved in the acquisition of Delphi, some Beijing-funded parts and components companies such as Beijing Automotive, Beijing Hainachuan, and Tianbao Group all participated in the negotiations. If the conditions are right, it does not rule out the possibility of an overall acquisition of Delphi. Beijing’s development planning requirements for the auto parts industry are that it is hoped that the parts and components industry can be positioned at the high end and become auto parts with high technological content and high added value. With the help of the overseas financial crisis, we will transplant to Beijing within a short period of time to strengthen and expand the Beijing auto parts industry. Informed sources said that the Beijing auto parts industry, Beijing Auto Holding's platform and resources are limited, so the Beijing government hopes that some of the strength of the part companies also participate in the overall layout of the Beijing auto parts. Joint Acquisition of Delphi On March 16th, Delphi China Communications and Public Affairs related parties stated that the non-core sales of Delphi are not news, and these businesses will be handled in a closed, suspended, parallel, and transfer manner. The development of core business is in line with Delphi's long-term development. interest. Delphi’s current core businesses include electronics and security, powertrains, heat exchange, after-sales services, electronic and electrical architectures, and investment companies that manage overseas operations. Other non-core businesses include brakes, suspensions, chassis, and steering systems. "Any piece of Delphi's assets is useful to us. Its technological advantage is 15 years ahead of ours," said the person familiar with the matter. In order to be in line with the capital's position in Beijing, Beijing proposed the introduction of high-tech, high-value-added, less-polluting, low-energy-consuming parts and components. Not all auto parts are in the scope of introduction. On August 26, 2008, Beijing Auto Holding and Beijing State-Owned Assets Management Co., Ltd. signed a framework agreement for the establishment of Beijing Hainachuan Auto Parts Co., Ltd. The capital invested by the two parties totaled RMB 1 billion. Among them, Beiqi Holding invested approximately RMB 600 million in equity and other assets of its high-quality parts and components companies, and Beijing State-owned Assets and Capital Corporation invested in cash of RMB 400 million. Beijing Hainachuan is positioned as a unified planning and development platform for the Beijing auto parts industry. Because Beijing wants to develop high-end auto parts industry, there is not much platform and resources, and it must take the route of the joint private enterprise. BAIC and the Hainachuan Coalition include private parts and components companies, such as the Tianbao Group, located in Beijing. Its main purpose is to transplant Delphi into Beijing. The acquisition method may be: With the Beijing Municipal Government taking the lead, the companies will jointly purchase Delphi, and then each company will purchase assets such as brakes and suspensions, and then transplant them to Beijing for production. "But this operation has not entered the substantive stage." The above-mentioned insider stressed that "many companies are in contact with Delphi, and ultimately can not be successful still do not know." Changing the Hollowing Situation of Beijing Automotive The parts and components industry has always been the soft underbelly of Beijing Auto. Beijing Auto Parts Industry has not kept pace with OEMs while Beijing Automobile Co., Ltd.'s Beijing-based Hyundai, Beijing-based Mercedes-Benz and Beiqi Foton are rapidly developing. At present, the auto parts industry in Beijing is almost at the lowest end of the package, most of which are low-tech products, and even it is difficult to access the supporting links of the automakers of BAIC. For example, Beijing Benz and Beijing Modern are basically all in the hands of foreign counterparts. All of Beiqi Foton's core components are not their own. After the Olympic Games, Beijing also proposed the concept of building a capital economy. The objective and task of the fifth meeting of the Beijing Municipal Committee of the Tenth Party Committee on the industrial front is to build a multi-billion-dollar enterprise. After the relocation of Shougang to Caofeidian, Hebei, the next 100 billion yuan "aircraft carrier" of the capital economy will only be completed by Beiqi Holdings. At the same time, Beijing also hopes that Shougang will be involved in the development plan of the auto parts industry. It was previously reported that Tianbao Group will cooperate with Shougang and prepare to establish a new company to enter the downstream components industry. However, it is understood that the two parties are still in contact. Zhang Ming, deputy general manager of China Automotive Industry Consulting Co., Ltd., is one of the drafters of the Beijing auto parts planning program. He believes that Beijing auto parts really need to find a company like Delphi, because in the parts and components industry, FAW, SAIC, and Dongfeng have their own main supply parts system, but Beijing does not have strong technical support and needs to develop itself. The industry of parts and components matches the status of Beijing Automotive Industry. After transplanting foreign advanced technology, Beijing auto parts industry hopes to be able to meet the supply needs of local automakers in Beijing, especially focusing on supporting parts and components companies that have the ability to develop synchronously with auto factories and break the monopoly of foreign capital supply. Enhance the "solid" process of the automotive industry. According to the requirements of the current automobile industry revitalization plan, only large-scale companies can enter the ranks of key national encouragement and support. Therefore, Beijing Auto Holdings hopes to achieve large-scale goals through mergers and acquisitions. Floor Sweeper,Sweeper Machine,Road Industrial Sweeper,Dust Cleaning Machine Haotian Cleaning Equipment Technology Co.,Ltd. , https://www.vacuumcleanersupply.com