Magna International will acquire the Veoneer Active Safety business from SSW Partners for $1.525 billion in cash, subject to working capital and other customary purchase price adjustments. The combined business is projected to generate approximately $3 billion in sales in 2024, positioning Magna’s ADAS business as a global leader.

Combining Veoneer’s Active Safety competence and product portfolio with Magna's Advanced Driver Assistance Systems, ADAS, business will strengthen the combined business and provide customers in more geographical locations with a full suite of ADAS solutions.

The acquisition will broaden Magna’s ADAS sensor and full systems capabilities, including radar, camera, ADAS ECU and driver monitoring. It will also add 2,200 engineers, including 1,800 for systems, software and sensor development.

Veoneer Active Safety sales are projected to be approximately $1.1 billion in 2022 and growing to approximately $1.9 billion in 2024. Combined with Magna Electronics, the business is projected to have pro forma ADAS sales of approximately $1.8 billion in 2022, approximately $3 billion in 2024, and is expected to generate higher ADAS content per vehicle opportunities.

In April 2022, SSW Partners acquired Veoneer in an all-cash transaction representing a total equity value of $4.6 billion. Qualcomm Incorporated subsequently completed the acquisition of Arriver from SSW Partners for an undisclosed sum. With the announcement to sell the Active Safety business to Magna, Veoneer continues the process of finding the best long-term home for its Restraint Control Systems business.

The transaction with Magna is expected to close near mid-year 2023, subject to approval of applicable regulatory authorities and other customary closing conditions.