Magna’s Acquisition of Veoneer

Sidley Austin advised Magna, while Skadden, Arps, Slate, Meagher & Flom advised Veoneer on the transaction.

Veoneer has entered into a definitive merger agreement under which Magna International Inc. will acquire Veoneer, a leader in automotive safety technology. Pursuant to the agreement, Magna will acquire all of the issued and outstanding shares of Veoneer for $31.25 per share in cash, representing an equity value of $3.8 billion, and an enterprise value of $3.3 billion, inclusive of Veoneer’s cash, net of debt and other debt-like items as of March 31, 2021.

Magna is more than one of the world’s largest suppliers in the automotive space. Magna is a mobility technology company with a global, entrepreneurial-minded team of 158,000 employees and an organizational structure designed to innovate like a startup. With 60+ years of expertise, and a systems approach to design, engineering and manufacturing that touches nearly every aspect of the vehicle, we are positioned to support advancing mobility in a transforming industry. Its global network includes 347 manufacturing operations and 84 product development, engineering and sales centres spanning 28 countries.

Veoneer, Inc. is a worldwide leader in automotive technology. Its purpose is to create trust in mobility. We design, develop, and manufacture state-of-the-art software, hardware and systems for occupant protection, advanced driving assistance systems, and collaborative and automated driving to OEMs globally. Headquartered in Stockholm, Sweden, Veoneer has 7,500 employees in 11 countries. In 2020, sales amounted to $1.37 billion.

The Skadden team advising Veoneer included M&A partners Stephen Arcano (Picture) and Dohyun Kim, and associate Samuel Cammer; Executive Compensation and Benefits counsel Berit Freeman; Tax partner Steven Matays; Intellectual Property and Technology partner Jose Esteves; Labor and Employment Law partner David Schwartz; Derivatives partner Yossi Vebman and counsel Yan Shurin; Capital Markets partner Michael Zeidel; and Banking partner Stephanie Teicher.

The Sidley team is being led by New York M&A partner Gabe Saltarelli. Additional members of the team include M&A partner Scott Freeman and associates Jessica Wood, Rachel Fridhandler, Whitney Price, and Jake McDonough, as well as partner Zhengyu Tang and associate Rui Liu; Technology and IP Transactions partner Jennifer Coplan, counsel Lauren Grau and associates E. Kyle Barnett, Summer Danzeisen. and Longbo Wang; Real Estate partner Robert Golub and associates Jesse Farb, Maria Hera, and Joel Naiman; Executive Compensation and Employee Benefits partner Dave Mollo-Christensen and associate Alexandra Peterson; Antitrust partners Patrick Harrison and Karen Kazmerzak and associate Stewart Inman; Tax partner Laura Barzilai and associate Ryan Kelly; Global Finance partner Ram Burshtine; Privacy and Cybersecurity counsel Ash Nagdev and associate Mark Prior; Global Arbitration, Trade and Advocacy partners James Mendenhall, Sven De Knop, and Andrew Shoyer and associates Justine Fassion and Alessandra Moroni; Environmental counsel Maureen Crough and associate Allen Braddock; Litigation partner Michael Mann and associate Alaric Smith; Labor, Employment and Immigration counsel James Weiss and senior associate Peter McCorkell; and Capital Markets partner Rob Ryan.

Involved fees earner: Kyle Barnett – Sidley Austin LLP; Laura Barzilai – Sidley Austin LLP; Allen Braddock – Sidley Austin LLP; Ram Burshtine – Sidley Austin LLP; Jennifer Coplan – Sidley Austin LLP; Maureen Crough – Sidley Austin LLP; David Mollo-Christensen – Sidley Austin LLP; Sven De Knop – Sidley Austin LLP; Justine Fassion – Sidley Austin LLP; Scott Freeman – Sidley Austin LLP; Rachel Fridhandler – Sidley Austin LLP; Robert Golub – Sidley Austin LLP; Lauren Grau – Sidley Austin LLP; Patrick Harrison – Sidley Austin LLP; Maria Hera – Sidley Austin LLP; Stewart Inman – Sidley Austin LLP; Karen Kazmerzak – Sidley Austin LLP; Ryan Kelly – Sidley Austin LLP; Michael Mann – Sidley Austin LLP; Peter McCorkell – Sidley Austin LLP; James Mendenhall – Sidley Austin LLP; Alessandra Moroni – Sidley Austin LLP; Ash Nagdev – Sidley Austin LLP; Alexandra Peterson – Sidley Austin LLP; Whitney Price – Sidley Austin LLP; Mark Prior – Sidley Austin LLP; Robert Ryan – Sidley Austin LLP; Gabriel Saltarelli – Sidley Austin LLP; Andrew Shoyer – Sidley Austin LLP; Alaric Smith – Sidley Austin LLP; Zhengyu Tang – Sidley Austin LLP; Longbo Wang – Sidley Austin LLP; James Weiss – Sidley Austin LLP; Jessica Wood – Sidley Austin LLP; Stephen Arcano – Skadden Arps Slate Meager & Flom; Samuel Cammer – Skadden Arps Slate Meager & Flom; Jose Esteves – Skadden Arps Slate Meager & Flom; Berit Freeman – Skadden Arps Slate Meager & Flom; Dohyun Kim – Skadden Arps Slate Meager & Flom; Steven Matays – Skadden Arps Slate Meager & Flom; David Schwartz – Skadden Arps Slate Meager & Flom; Yan Shurin – Skadden Arps Slate Meager & Flom; Stephanie Teicher – Skadden Arps Slate Meager & Flom; Yossi Vebman – Skadden Arps Slate Meager & Flom; Michael Zeidel – Skadden Arps Slate Meager & Flom;

Law Firms: Sidley Austin LLP; Skadden Arps Slate Meager & Flom;

Clients: Magna International Inc.; Veoneer Inc;

Author: Martina Bellini