NORFOLK, Neb. — Nebraska’s two Veyance Technologies plants will likely soon have a new owner.
Employees at Veyance plants in Norfolk and Lincoln were informed this week that Continental AG, a German company that is one of the world’s leading automotive suppliers, has agreed to pay $1.9 billion for the company.
Continental is buying the company from the Carlyle Group, which bought the division from Goodyear in March 2007 for about $1.5 billion.
Veyance — which makes industrial hoses and conveyor belts and is based in Ohio — will be integrated into Continental’s ContiTech division, which makes rubber and plastic products for the automotive and other industries.
A U.S. spokeswoman for Continental, which is based in Hanover, Germany, said there will be no cuts or layoffs at the Veyance plants.
“We plan to take on the entire workforce because this business is a complement to ContiTech’s existing business,” said Kathryn Blackwell, vice president for communications and marketing for Continental in the United States. “For that reason, the priority is growth rather than consolidations.”
Continental said the addition of Veyance, which has 27 plants worldwide, 9,000 employees and more than $2 billion in annual sales, “will make an immediate positive contribution to the corporation’s profitability once the transaction has been concluded.”
Veyance continued to make products under the Goodyear name after the 2007 sale, but that will cease shortly after the deal, which still must be approved by regulators, is complete, Blackwell said.