Both Johnson Controls Inc and Saft have reached an agreement which will end their joint venture on lithium-ion vehicle batteries – known as Johnson Controls-Saft.
The venture was formed in 2006 but now both parties have agreed to end their relationship and terminate all legal proceedings. Under the terms of the agreement, Johnson Controls will acquire Saft’s share of the company for $145million with an upfront royalty payment by Johnson Controls to Saft in return for an expanded licence to use certain Saft lithium-ion technologies in all markets.
Alex Molinaroli, the president of Johnson Controls Power Solutions, commented that he is pleased to have resolved the matter in a mutually beneficial way; while John Searle, the chairman of Saft’s management board, stated that Saft will now be fully concentrated on the exciting opportunities for its lithium-ion technologies in the markets it chooses.
All assets of the joint venture will be retained by Johnson Controls with the exception of the Nersac, France, facility, which will be transferred to Saft at the end of 2012.
