Car parts maker Faurecia completes $741 million capital increase

PARIS (Reuters) – French car parts supplier Faurecia said it increased the company’s share capital by around 705 million euros ($740.9 million) and will use the proceeds to fund its acquisition of German peer Hella.

Faurecia had sealed its takeover of Hella in February and plans to create Forvia, likely to be the world’s seventh-largest automotive supplier.

Forvia predicted sales of around 23 billion-24 billion euros this year, with a profit margin of 4%-5%.

($1 = 0.9516 euros)

(Reporting by Sudip Kar-Gupta; Editing by Sherry Jacob-Phillips)