Automotive tier one supplier Koito in Japan is to acquire the remaining stake in lidar startup Cepton to being its MMT technology in-house.
The deal to acquire Cepton will see the company operate as an indirect subsidiary of Koito.
The two have worked together since 2017 to industrialize high-performance lidar solutions for mass-market automotive, smart infrastructure and industrial applications. Koito also works with other lidar suppliers, including Bloickfield of Germany, to integrate lidar laser sensors into front and rear lighting units. However lidar makers have struggled to increase volumes and cut the cost of the technology.
The offer of $3.17 for the outstanding stock at $3.17 is a 25% premium and the deal is expected to complete by the end of April 2025. In January 2023, Koito bought $100m of convertible preferred stock in its third investment, making it a significant shareholder.
- Cepton brings MMT lidar technology to Europe
- Cepton wins major Lidar contract with Detroit OEM
“I am excited about the next stage of Cepton’s growth as we embark on a new journey together with Koito,” said Dr. Jun Pei, CEO and Co-founder of Cepton. “Over the past few years, we have achieved many remarkable milestones in product innovation and development, establishing ourselves as one of the most trusted lidar solutions providers in the automotive industry. A significant portion of our efforts were greatly supported by Koito as our long-term partner and investor.
“As we carry on our pioneering spirit as a Silicon Valley company and deepen our commitment to driving cutting-edge innovation, leaning on Koito’s century-old heritage of engineering rigor will heighten our dedication to delivering quality solutions to customers worldwide. Our partnership with Koito will provide us with unique access to a broader range of opportunities and resources and help us stay resilient to industry challenges in a way no other lidar company can. This will position us as a leading automotive lidar company for years to come, as Cepton continues to execute current automotive programs and actively manage future OEM initiatives.”
- dSPACE supports simulation of Cepton lidar sensors
- Koito, Blickfeld plan to integrate lidar into headlamp
“We appreciate and are impressed by the outstanding technical capabilities exhibited by the Cepton team throughout our years of collaboration. We recognize this proposed transaction is an essential step toward realization of Koito’s vision of ‘lighting the way for our sustainable future.’ We are convinced that having Cepton as a member of the Koito group will significantly enhance the competitiveness of our sensor business,” said Michiaki Kato, President and COO of Koito.
“In addition to broadening business platforms for both Koito and Cepton, we expect our partnership to make a positive impact on the overall automotive lidar ecosystem, driving industry standards and accelerating adoption at scale. We are ready to better support our automotive OEM customers in safely deploying lidar-enhanced assisted and autonomous driving platforms through a streamlined and stabilized supply chain, making safe autonomy truly available in every consumer vehicle,” said Mitch Hourtienne, Chief Commercial Officer at Cepton.
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