Foxconn Hits a Wall in German Auto Deal
Elsewhere, Taiwanese electronics titan Foxconn faces a snag in its long-anticipated bid to acquire a stake in ZF Group’s powertrain unit, Division E. A “substantial mismatch” in valuation and unexpected debt levels have stalled negotiations, Reuters reported Wednesday.
Foxconn’s due diligence pegged Division E’s value between €1.5 billion and €2.5 billion, far below ZF’s previous €3.5 billion estimate, prompting the German supplier to cancel its planned spinoff earlier this month.
Chobani’s Valuation Soars to $20B After Fresh Funding
Rounding out the week’s major deal activity, Chobani’s valuation skyrocketed to $20 billion following a $650 million funding round, per The New York Times’ DealBook.
The yogurt maker plans to channel the funds into two U.S. manufacturing projects—a $500 million expansion in Idaho and a $1.2 billion facility in Rome, New York—to meet soaring demand for its products. With projected $3.8 billion in annual net sales, up 28% from last year, Chobani’s growth narrative continues to sweeten investors’ appetites.
