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You can find the current article at its original source at http://www.theguardian.com/technology/2015/jul/30/british-cable-firm-snapped-up-in-drive-for-intelligent-cars

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British cable firm HellermannTyton snapped up in drive for intelligent cars British cable firm HellermannTyton snapped up in drive for intelligent cars
(about 3 hours later)
A US-listed car parts maker is paying £1.1bn for HellermannTyton, a British manufacturer of cable equipment, as it seeks to capitalise on the growing trend in intelligent vehicles. A US-listed car parts maker is paying £1.1bn to buy HellermannTyton, a British manufacturer of cable equipment, as it seeks to capitalise on the growing trend in intelligent vehicles.
Delphi Automotive said it expects HellermannTyton, which makes products for fastening, fixing, and protecting cables, to help it take advantage of increasing demand for vehicles that connect to the web and smart devices such as phones and tablets.Delphi Automotive said it expects HellermannTyton, which makes products for fastening, fixing, and protecting cables, to help it take advantage of increasing demand for vehicles that connect to the web and smart devices such as phones and tablets.
New safety and anti-pollution rules are forcing cars to become more intelligent so engines are fuel efficient and vehicles can better perform semi-automated tasks such as accident avoidance and cruise control. Cars increasingly rely on multiple computer systems to operate and become safer by responding to what is around them. The move towards intelligent cars is expected to lead to vehicles that drive themselves more safely then human beings.
Delphi said it would pay 480p in cash for each Hellermann share. The price is 44% more than Hellermann’s closing share price on Wednesday. Hellermann’s shares rose 42% to 472p.Delphi said it would pay 480p in cash for each Hellermann share. The price is 44% more than Hellermann’s closing share price on Wednesday. Hellermann’s shares rose 42% to 472p.
Delphi is based in Gillingham, Kent, but its shares are listed in New York. It makes electronic components for motor vehicles, including safety systems that detect hazards, and employs more than 20,000 people.Delphi is based in Gillingham, Kent, but its shares are listed in New York. It makes electronic components for motor vehicles, including safety systems that detect hazards, and employs more than 20,000 people.
Hellermann, based in Manchester, employs 3,800 people globally. In the UK it employs 700 people and its main factories are in Manchester and Plymouth.Hellermann, based in Manchester, employs 3,800 people globally. In the UK it employs 700 people and its main factories are in Manchester and Plymouth.
Delphi said it expected to save $50m (£32m) a year by the end of 2018 by cutting purchasing costs and making its supply chain more efficient. It said that after the deal was completed it would review overlapping operations, including Hellermann’s distribution network.Delphi said it expected to save $50m (£32m) a year by the end of 2018 by cutting purchasing costs and making its supply chain more efficient. It said that after the deal was completed it would review overlapping operations, including Hellermann’s distribution network.
Cars increasingly rely on multiple computer systems to operate and become safer by responding to what is around them. The move towards intelligent cars is expected to lead to vehicles that drive themselves more safely than a human.
Delphi said the deal would give it more products to capitalise on the “megatrend” for connected cars and opportunities to expand in Hellermann’s other sectors such as aerospace and defence.Delphi said the deal would give it more products to capitalise on the “megatrend” for connected cars and opportunities to expand in Hellermann’s other sectors such as aerospace and defence.
New safety and anti-pollution rules are forcing cars to become more intelligent so engines are fuel efficient and vehicles can better perform semi-automated taskssuch as accident avoidance and cruise control. Cars increasingly rely on multiple computer systems to operate and become safer by responding to what is around them. The move towards intelligent cars is expected to lead to vehicles that drive themselves more safely then human beings.
The deal is the latest in a spate of mergers and acquisitions as companies seek new markets and products to spur growth. Takeovers worth $5bn or more totalled a record $1.13tn in the first half of this year, fuelled by a boom in the US.The deal is the latest in a spate of mergers and acquisitions as companies seek new markets and products to spur growth. Takeovers worth $5bn or more totalled a record $1.13tn in the first half of this year, fuelled by a boom in the US.
Apart from Shell’s blockbuster £47bn acquisition of BG Group, merger activity in the UK has been more muted. Also on Thursday, Chime Communications, a sports marketing company, said it was in talks to sell itself for almost £350m to WPP, the world’s biggest advertising company, and US buyout firm Providence Equity Partners.Apart from Shell’s blockbuster £47bn acquisition of BG Group, merger activity in the UK has been more muted. Also on Thursday, Chime Communications, a sports marketing company, said it was in talks to sell itself for almost £350m to WPP, the world’s biggest advertising company, and US buyout firm Providence Equity Partners.
Kevin Clark, Delphi’s chief executive, said: “With consumers now demanding more connectivity in their vehicles, electrical architecture is the enabler to that added vehicle content. By leveraging the combined capabilities of both companies, we will be able to capitalise on additional growth opportunities and create significant value for our customers and shareholders.”Kevin Clark, Delphi’s chief executive, said: “With consumers now demanding more connectivity in their vehicles, electrical architecture is the enabler to that added vehicle content. By leveraging the combined capabilities of both companies, we will be able to capitalise on additional growth opportunities and create significant value for our customers and shareholders.”