German technology supplier Robert Bosch GmbH said on Thursday it had recently disposed of its remaining 5% stake in Japanese car parts maker Denso Corp (TYO:6902) for around EUR1.1bn (USD1.4bn).
Robert Bosch Investment Nederland BV had sold all of its non-strategic shareholding in Denso which comprised roughly 46m units, Bosch said without disclosing the name of the buyer. The group intends to use the cash funds for capital expenditure in fields with promising future, as well as to finance takeovers.
The two parties have been collaborating since 1953 when they sealed their first license contract regarding the production of electric automotive equipment. The German group, which has been a shareholder in Denso since the mid 1950s, had divested a part of its original investment in 2009. The firms also have two joint ventures.
More specifically, they have stakes in US-based vehicle fuel pumps producer Associated Fuel Pump Systems Corp (AFCO) and in Advanced Driver Information Technology Corp (ADIT) which develops platforms for vehicle infotainment systems in Japan and Germany.
Bosch noted that the stake sale will not affect the long-standing partnership between the two. They will still collaborate within the framework of existing alliances and will continue to examine opportunities for future ones.