Compagnie Plastic Omnium SE

M&A Activity • Jul 28, 2022

Levallois, 28th July 2022, 7:05 pm CET

PLASTIC OMNIUM TAKES FULL OWNERSHIP OF HBPO

• Acquisition of the remaining 33.33% of HBPO shares from Hella
• HBPO, world leader in automotive front-end modules, with strong growth potential driven by the electrification of automotive markets and an innate ability to innovate
• Full ownership to accelerate HBPO's growth and exploit full synergy potential with Group's portfolio

Plastic Omnium signed an agreement to purchase Hella's remaining 33.33% stake in HBPO GmbH, giving it full ownership of the world leader in complex automotive front-end modules. This acquisition was signed for an Equity value of €290 million1, fully financed from the Group's own resources. The transaction is subject to regulatory approval, expected in Q4 2022.

Plastic Omnium will own 100% of HBPO and will be well positioned to develop new modules and systems taking advantage of the new lighting capabilities, in line with the transformation of the market and the customer expectations.

HBPO was founded in 2004 as a joint venture between Plastic Omnium, Hella and Behr. Plastic Omnium has held the majority of shares in HBPO since 2018 when it increased its stake to 66.66% of the share capital from the 33.33% it initially held. Since this date, HBPO has been fully consolidated by Plastic Omnium.

Plastic Omnium's acquisition of the remaining shares in HBPO supports its strategy to increase the value-added content per vehicle, while leveraging the growing demand for electric vehicles. The acquisition of the remaining shares will unlock development opportunities and further reinforce Plastic Omnium's proximity with premium and German OEMs. HBPO headquarters will remain in Lippstadt, where management is located.

Laurent Favre – Chief Executive Officer of Compagnie Plastic Omnium SE stated:

"The acquisition of the remaining 33.33% of HBPO will allow Plastic Omnium to implement its growth strategy by broadening the range of modules offered. Thanks to HBPO's strong relationships with premium customers, Plastic Omnium will be able to meet demand for more and more complex modular innovations accompanying the shift towards electric vehicles. The complementarity of the Group's business lines will allow Plastic Omnium to offer smart and fully integrated solutions to the automotive market as it transitions toward more sustainable and connected mobility".

¹ Cum dividend of €8 million paid in 2022 for 2021

HBPO, world leader in complex automotive front-end modules

HBPO assembles one in five front-end modules produced worldwide and generated economic revenue of €2.2 billion in 2021. With 2,800 employees at 31 plants in 11 countries over the American, European and Asian continents, HBPO assembles over five million front-end modules every year.

The front-end module is a complex part on the front of the vehicle which, from a technical frontend, integrates the shock absorber beam, lighting and engine cooling systems, active radiator grill shutters as well as the radars and driving assistance sensors.

About Plastic Omnium

A world leader, Plastic Omnium provides innovative solutions for a more connected and sustainable mobility. The Group develops and produces intelligent exterior systems, clean energy systems and customized complex modules. With €8 billion economic revenue in 2021, an international footprint of 137 plants and 31 R&D centers, Plastic Omnium relies on its 30,000 employees to meet the challenges of clean and smart mobility. Innovationdriven since its creation, Plastic Omnium is now paving the way for zero carbon mobility through its investments in hydrogen solutions, where the Group has ambitions to become world leader throughout the entire value chain.

Plastic Omnium is listed on Euronext Paris, compartment A, is eligible for the Deferred Settlement Service (SRD) and is part of the SBF 120 and CAC Mid 60 indices (ISIN code: FR0000124570). www.plasticomnium.com

Contacts:

Press: Sarah ADIL sarah.adil@plasticomnium.com

Investor Relations: Audrey ARNOUX audrey.arnoux@plasticomnium.com