Thailand Dealbook: Federal-Mogul ups stake in Parts Zone; FPI forms JV to tap energy biz

Executives from Federal-Mogul Motorparts, Loxley, and Parts zone (Thailand) at the press conference on Tuesday

US-based auto-parts maker decides to acquire a majority stake in Parts Zone to strengthen its presence in Southeast Asia. Fortune Parts Industry, the listed plastic auto-parts manufacturer, sets up five joint venture companies to invest in renewable energy business.

Federal-Mogul ups stake in Thailand’s Parts Zone

Federal-Mogul Motorparts, manufacturer and distributor of auto parts under Federal Mogul Holdings Corporation, has acquired additional stake in distributor Parts Zone (Thailand) Co Ltd from Loxley PCL for an undisclosed amount.

Federal-Mogul will hold 51 per cent, Loxley will hold 46 per cent while Wachira Yongyai, managing director of Parts Zone (Thailand), will hold the balance.

“In a strategic expansion of our distribution footprint in the Asia-Pacific, Parts Zone will serve as a key platform for Motorparts’ premium-branded products in Thailand and the greater Asian region.  We see our expanded presence there as pivotal to our continued growth in the region, especially given the anticipated creation of the ASEAN Economic Community by the end of 2015,” Dan Ninivaggi, CEO of Federal-Mogul Motorparts, said.

Wachira Yongyai, Managing Director of Parts Zone (Thailand), said, the investment of Federal-Mogul Motorparts into Parts Zone will enable the company to have sound financial status and to strengthen its product portfolio to lead the business in Thailand.

Parts Zone has four distribution outlets in Bangkok, Chiang Mai, and Surat Thani.

Thai auto-part maker FPI forms JV to tap into energy biz

The Board of Directors of Fortune Parts Industry PCL (FPI) has approved the setting up of five joint venture companies to tap into biomass power plants with a combined investment of 8.96 million baht.

The funds will come from its internal working capital, according to the company’s report to the Stock Exchange of Thailand.

“This is our first diversification into renewable energy. However, our core business remains the manufacturing of plastic auto-parts,” FPI’s managing director Sompol Tanadumrongsak said.

He said, the main objective for establishing these JV firms is to join the auction to acquire power purchase agreements (PPA) in the first quarter of 2016. The auction’s result will be announced in the second quarter.

It currently holds 51 per cent stake in each JV and it will increase to 75 per cent in January next year, the report cited.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.