Dana Corp has signed a letter of understanding to sell certain production assets of Dana's Heavy Vehicle Technologies and Systems Group to Sypris Solutions Inc and to enter into a long-term supply agreement with Sypris for the related axle components.
The proposed asset sale includes Dana's manufacturing facility in Morganton NC and production assets from facilities in Toluca, Mexico; Glasgow KY; and Humboldt TN. Approximately 600 employees in Morganton and Toluca would be transferred to Sypris as part of the transaction.
This transaction is subject to the execution of definitive agreements, approval by Dana's board of directors, applicable regulatory approvals, and other customary closing conditions.