Lear Corp, a maker of auto seats and electrical power systems, is nearing a deal to buy Eagle Ottawa LLC, a supplier of premium automotive leather, for more than $800 million, the Wall Street Journal reported, citing sources familiar with the matter.
A deal for Eagle Ottawa, owned by Milwaukee-based investment firm Everett Smith Group Ltd, could be announced in the next couple of weeks, the report said. (on.wsj.com/VEcPlu)
Both Lear and Eagle Ottawa were not immediately available for comment.
Auburn Hills, Michigan-based Eagle Ottawa's leather products are used in car brands such as BMW, Buick, Honda, Volvo, Renault, Chrysler and Mercedes-Benz.
Southfield, Michigan-based Lear counts Ford Motor Co, General Motors Co and BMW AG as its largest customers. The three companies represented 54 percent of Lear's sales in 2013.
Lear in 2006 expanded its leather operations with the introduction of its Aventino premium leather for seat ventilation and customizable fabric, the Journal reported.
(Reporting by Ankit Ajmera in Bangalore; Editing by Maju Samuel)