Chinese electronics group Luxshare-ICT now owns German cable and wiring systems specialist Leoni AG, completing the Luxshare-ICT Leoni AG acquisition first announced in 2024. As a result, the new structure supports Leoniโs financial stability and future growth in global automotive wiring markets.โ
Deal structure in the Luxshare-ICT Leoni AG acquisition
A press release from Leoni AG explains that the partnership between Luxshare-ICT and investor Stefan Pierer forms a key pillar of Leoniโs longโterm growth and recovery plan. Moreover, Luxshare-ICT now holds 50.1% of the Wiring Systems Division (WSD), giving it majority control of Leoniโs core wiring systems business.โ
At the same time, Luxshareโs subsidiary TIME Interconnect has acquired 100% of Automotive Cable Solutions (ACS) after all required approvals following the September 2024 agreement. Therefore, Luxshare now controls both Leoniโs wiring systems and automotive cable activities.โ
Strategic benefits from the Luxshare-ICT Leoni AG acquisition
The deal significantly expands Leoniโs market access through Luxshareโs global customer network in the automotive and electronics sectors. In addition, ACS can now accelerate growth in Europe and Asia, using Luxshareโs footprint to reach more OEM and tierโone customers.โ
Together, Leoni and Luxshare plan to align their product portfolios, deepen vertical integration, and streamline supply chains. Furthermore, they intend to apply shared automation expertise across a broader manufacturing base to improve efficiency and responsiveness.โ
Technology integration in the Luxshare-ICT Leoni AG acquisition
Both groups bring strong capabilities in automated production and advanced cable and wiring technologies. As a result, by integrating engineering and manufacturing, they aim to deliver more complete cable and wiring solutions from a single global group.โ
This integration should lower costs, shorten lead times, and also improve service quality for customers in multiple regions.โ
Leadership views on the Luxshare-ICT Leoni AG acquisition
Leoni CEO Klaus Rinnerberger says the partnership supports financial restructuring and operational streamlining, including cost optimization and portfolio focus. In addition, he notes that customer feedback and complementary strengths show that Leoni and Luxshare form an ideal strategic match.โ
In a LinkedIn post, Leoni calls the deal โa time of transformations and new beginningsโ for its business, teams, technology, and vision. The company also states that it looks ahead with confidence as it continues to innovate, collaborate, and connect with customers around the world.โโ
