Motorcar Parts of America makes strategic investment in Fenwick Automotive
Motorcar Parts of America has made a strategic investment of $1.9m in Fenwick Automotive Products structured as a secured loan with an option to acquire substantial ownership of the company.
Motorcar Parts of America chairman, president and CEO Selwyn Joffe said that this transaction represents a potential opportunity to expand beyond the company's alternator and starter business and leverage the company's existing manufacturing expertise and distribution channels with a broad array of automotive products.
A major benefit of the transaction is the option to acquire a substantial portion of Fenwick Automotive and likely more than double Motorcar Parts of America's annual revenues with expected accretive earnings, Joffe said.
Fenwick Automotive Products CEO Gordon Fenwick said that the company is pleased to be working with an organization with the market presence and reputation of Motorcar Parts and look forward to working with the company's team.
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