Standard Motor Products Forms JV With Foshan Guangdong - Quick Facts

(RTTNews) - Standard Motor Products Inc. (SMP) said that it has formed a joint venture with Foshan Guangdong Automotive Air Conditioning Co., Ltd. or FGD, a China-based manufacturer of air conditioning compressors for the automotive aftermarket and the Chinese Original Equipment market.

Standard Motor Products will invest approximately $12.5 million in the 50/50 joint venture. The new company is named Foshan FGD SMP Automotive Compressor Co., LTD.

Eric Sills, Standard Motor Products' Chief Executive Officer and President, said, "We believe the transaction will be accretive to earnings in year one, excluding one-time integration costs."