Lear chief executive says Eagle Ottawa price is “right and fair”
23/09/2014
However, speaking to analysts from Morgan Stanley in mid-September, Mr Simoncini also said that the growing popularity of leather among automotive companies and consumers was also an important factor.
He said: “From our standpoint, leather is a sub-segment of the auto that is growing faster.” He said the penetration of leather in car seats was likely to remain at current levels, which he put at 4%-5%, but because of growth in the industry overall, the automotive segment is certain to consume more and more leather in the years ahead.
Mr Simoncini described his company’s move for Eagle Ottawa, confirmed in August with the two parties agreeing a valuation of $850 million, as “a great acquisition at a right and fair price”. He said it would create a lot of value for Lear, its customers and its shareholders.
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