Good morning and a warm welcome to this presentation of the Faurecia- HELLA operation. I welcome you from Lippstadt. You have with us Michel in Nanterre. This is why also we have these difficulties with the live questions. This is why we needed to work with written questions. Let us have a look on the agenda. The first point we will cover is the transaction overview and the strategic rationale. The second point , building a new global leader. Point three , transaction, financing, value creation, and timeline. We will close this presentation with the key takeaways before the Q&A. The transaction overview. Faurecia and HELLA are representing a unique and compelling combination with strong, sustainable, and profitable growth perspectives.
In fact, when we spoke about our strategy, we said that we want to add fast-growing, technology-driven segments with leading position, which is precisely the case, considering the lighting business of HELLA, but also considering the electronics business. We wanted to have more electronics. We want to have more software. We want to be focused on domains which are aligned with the automotive megatrends. These domains are the electric mobility, the ADAS and autonomous driving, and the cockpit electronics. We wanted also to achieve less exposure to ICE powertrains. Again, you will see that with this deal, will be achieved. We wanted to prepare the next transformation, and we have created here the Lifecycle Value Management, and I will tell you a little bit more about its content.
We wanted to be able to grow with a partner which is showing complementarities, which will allow us to achieve significant synergies and cost optimizations. It is clearly the case with HELLA on different domains or on different levels: the product level, the customer level, and the geographies. We wanted to have a partner with which we are sharing a strategic vision. We are sharing values. We have similarities in our cultures. We want to be able to share priorities on the ESG domains, which are absolutely critical. All of that for a very strong value creation for our shareholders and all the stakeholders. I might add one point, which is the stable and strong shareholder base. With the HELLA family, with up to 9% of the Faurecia capital, this is again a target which will be achieved. On the next slide, we have some details about the transaction.
First of all, a definitive agreement with the family pool and HELLA have been achieved. We will launch a public tender offer at a price of EUR 60 per share. We will acquire separately from the family pool its 60% stake at a price of EUR 60 per share, paid through a mix of EUR 3.4 billion of cash and up to 13.57 million of newly- issued Faurecia shares. The transaction represents an estimated total enterprise value of EUR 6.7 billion for 100% of HELLA. The family pool, and this is what I just said, to hold up to 9% of Faurecia's capital with an 18- months lockup and board representation, underlining its strong commitment to the new company. The transaction structure will allow Faurecia to launch execution of the significant projected synergies from day one. This is mainly related to the specific legal form of HELLA.
The deal is, on our side, fully secured. The ratings, we have worked with our three ratings agencies prior to the deal, and we are expecting them to confirm all three agencies shortly our existing rating. The next slide. Faurecia, I'm not sure that I need to present it to you. We made, in 2021, and this is the guidance we announced, EUR 16.5 billion of sales. I remind you with a volume level of 76.6 million vehicles. We are counting 266 plants and 39 R&D centers. One out of three vehicles are equipped worldwide with one, at least, Faurecia product. We are counting 114,000 employees, 103 nationalities working in 35 countries. We have currently four business groups, and a business group is an important entity for us. We have P&Ls at the plant level, and consolidation of plants is corresponding to a division.
Consolidation of divisions is corresponding to a business group. We have four business groups: Clean Mobility, Seating, Interiors, and Clarion Electronics. We have positioned strategically ourselves on two main areas, Cockpit of the Future and Clean Mobility, with a clear priority on hydrogen. We have spent more than EUR 600 million of innovation in the past three years. We have achieved 1,200 patents, and this only in 2020. I think that when we look back in the last years, we have achieved a solid track record, and we have demonstrated the resilience of the group in difficult periods of times. The next slide is related to HELLA. Here, again, the 2021 guidance for HELLA, EUR 6.5 billion. You know that this is with not exactly the same calendarized revenues.
We are speaking here about a year starting the 1st of June and ending the 31st of May. HELLA is counting 125 plants. They are spending 9.5% on R&D, which is significant and which is corresponding to their innovative reputation. It's a company which has started in 1899, and the Hella family is leading this company since more than 100 years. HELLA counts 36,300 employees. Here we have again, business groups. It's not exactly business groups within HELLA today, but, it's the way we are seeing them with lighting, with electronics, with its aftermarket business and its special applications. What is characterizing HELLA for us, it's clearly its technology leadership in all its activities. It's true, certainly for electronics, but it's also very much true for lighting, where it is the clearly recognized leading company. Innovation, very strong. HELLA has very talented R&D workforces. German premium.
It's mainly with them that you are innovating in this industry. Here the high intimacy with the German premiums is not a surprise. If we go to the next slide. A few words about the combined group and our intention to capitalize on HELLA's strengths and with Lippstadt continuing to be in a very important position and playing a major role. Three business groups will have their headquarters and their R&D centers in Lippstadt, Electronics, Lighting, and a new business group, which we will call Life cycle Value Management, and which will integrate both aftermarket services and special applications. We will certainly leverage HELLA's strong brands. We have a strong commitment to respect all the current works council agreements and collective bargaining agreements. We are also very clear to ensure smooth docking of the two groups with senior roles for HELLA executives in the combined group.
We have started to discuss how we will work together on these topics and how balanced the decisions will be. The next one. Here you have in terms of docking and integration, how it will look like. We are starting, as you have seen, with eight business groups. We will go down to six business groups. Three of these business groups will be located in Nanterre. Three of them will be located in Lippstadt. The ones located in Nanterre are Seating, Interiors, and Clean Mobility. They are not impacted by this deal. Electronics and software, in fact, HELLA will integrate Clarion Electronics in its organization. We will care about Asia because Asia is very much complementary to HELLA's geographical portfolio. Lighting will not be impacted by this deal again, but is located in Lippstadt and should stay located in Lippstadt with its R&D center.
You see here again, Lifecycle Value Management. We will enhance the current organization with our divisions, which are related to materials, which are related to aftermarket products, but which are also related to new architectures, which are allowing an assembling and dismantling, which might be done quickly in the dealerships. The next slide. The combined portfolio of five main core activities, each above EUR 3 billion of sales and the strong geographic complementarities are shown here. You see that Seating stays the biggest business group with 26%, Interiors 22%, Clean Mobility 18%, Electronics 16%, Lighting 14%, and Lifecycle Value Management 4%. This is based on the 2021 pro forma sales. I think it's important to see that this is very well-balanced, and again, with each of them having sales above EUR 3 billion, with the exception of Lifecycle Value Management.
A very strong and focused electric mobility offer on both battery electric vehicles and fuel cell electric vehicles. I think it's important to highlight this. We have now the two legs which are needed in the electric mobility business. The sales breakdown by geography: 51% in Europe, 25% in North America, 22% in Asia, and 2% in the rest of the world. The leveraging of Faurecia's very strong positions in Asia and especially in China and in Japan, are important to further grow the revenues of the Electronics business, but not only, I think it will also benefit to the Lighting activities. The next slide, please. Common values and ambition. This is what I said in my introduction. I think that this is very important. Here you have the ESG parameters. Environment. We are very clear that we both want to fight against climate change.
We both have a CO₂ neutrality roadmap with first steps to be achieved in 2025. They are related to Scope 1 and Scope 2. Sustainable product solution with eco-design, sustainable materials, energy efficiency solutions, and circular economy are priorities for both companies. Zero emission solutions, I spoke about that, with a strong expertise in battery electric vehicles, mainly coming from HELLA, and fuel cell electric vehicle, hydrogen mobility coming from Faurecia. Socially, a responsible employer promoting gender diversity and inclusivity. A learning organization that encourages employee training. Supporting local communities with a foundation. Acting in education, mobility and environment. The governance. Robust and transparent governance bodies. A strict respect for compliance and strong values for ethics. I think that this is critical. A safe work environment to all our employees worldwide. A responsible supply chain with sustainable partners and suppliers. The next slide.
What we want is to build, as we said, a leader in this industry, which will be the case, ranking at the seventh global position. You see here the main pro forma figures for 2021, with sales at EUR 23 billion. I can tell you sales in 2022 above EUR 26 billion. An EBITDA margin at circa 14%. An EBIT margin higher or equal to 7%, and an excess of 150,000 employees. On the right-hand side, the four domains which we believe are the growth domains aligned with the automotive megatrends: Electric Mobility, ADAS and Autonomous Driving, Cockpit of the Future, and Life Cycle Value Management. We had two domains previously, which were Cockpit of the Future and Clean Mobility, sustainable mobility. We are now switching to four domains, which are the ones I just presented.
On this slide, which is maybe uneasy to describe, you have these domains again, and you have here represented how complementary we are in our different segments and what the coverage is on the different technologies. Maybe one thing which is important, again, related to R&D capabilities, we will count together 18,500 highly talented and motivated specialists and engineers, including 3,000 software engineers. Go to the next slide. Specific focus on Electronics and software. You see here the combination between Faurecia and HELLA Electronics. Sales at EUR 3.7 billion, 24 production sites, 21 R&D centers, 3,000 software engineers, and more than 17,000 employees in the Electronics segments. Our ambition here is, in 2025, to achieve EUR 7 billion of sales. The next slide. I said it, we have to reduce our exposure to ICE.
With the growth we have in front of us on both sides— on the HELLA side and on the Faurecia side—w ith EUR 33 billion of sales in 2025, we will be able to significantly reduce our exposure , which was last year, Faurecia perimeter alone, at 25%, going down at closing below 20%, and dropping down to 10% in 2025. Next slide.
We have made a big due diligence. We have identified a lot of synergies and optimization. I would like to insist, this is of course, on top of the existing program of HELLA. You know, probably that they have the Phoenix program with EUR 130 million cost-cutting, very well advanced. We have identified, I will come back on that, EUR 200 million minimum synergies fully captured end of 2024. That means with the full impact on the P&L in 2025. The cost to implement the synergies has been estimated at EUR 250 million. We have some revenue synergies, mainly in Asia. We have not taken into account the EBIT to calculate the accretion. I want to insist on that. We have a lot of cash flow optimization. I will come back on that as well.
What is important to notice, the synergies is less than 1% of the total cost of the new company. You know our track record on the cost-cutting. I think we have demonstrated that with Clarion. You know as well our expertise to optimize the cash. You can see somewhere, sorry to say that, the pleasure we will have to make all these figures a reality and to post, I would say, very, very strong figures. On cost synergies, we have more or less— if I take the different, we say field—p urchasing, probably more than 15% of the total synergy. Operational synergies, half of it, with a lot of optimization between the different plants. R&D, and I would say other, back office, 30%. Last but not least, SG&A.
To put together two big companies with the global business services, you know how much advanced we are. HELLA has made some big works. We have as well big IT optimization. They are on SAP, probably less, I would say, focused on us because they have different implementation. We have one, we will leverage that to make a very, I would say, efficient company. What is important, it is the horizon. We have been cautious in our estimation. For me, 10% is the minimum in 2022, and 40% P&L impact, much more advanced in the implementation in 2023, 80% in 2024, and the full impact in 2025. The combination of both companies.
Here, you know that we have made Investor Day, so we are confirming month after month all our figures. They have made an Investor Day. We have the synergies, we arrive to these figures with a little prudence. I think it's normal to have a little prudence as usual. You see the magnitude of the figure, as Patrick was saying, we are speaking of a company above EUR 26 billion of sales in 2022, above EUR 30 billion of sales in 2025. EBIT margin, very quickly 8%, more than 8% afterwards, of course. Net cash flow, I think it is a more powerful achievement. We speak of EUR 1 billion of net cash flow next year to go to more than EUR 1.5 billion.
You know that we have inside this figure some magic figure. We will double the growth of the market, which is estimated here at a little more than 4%. We are speaking of 8% - 9%. EBIT margin above 8% in the future, above 8.5%. Net cash flow, 4%, you know that it was our big target, and probably we can target much more in 2025. One thing in this plan, we want as well to deleverage as quick as possible. Of course, we are using the leverage to make this acquisition. We'll come back on that. We perform at something like 2.5 x net debt -to- EBITDA. We want to be at less than 2x at end of 2022, and to converge to 1x afterwards. What is important to do that? Net cash flow.
We have in the net cash flow CapEx optimization between the two companies, more than EUR 100 million. We have as well some working capital optimization. You know what we have done in the last years. I will say a lot of optimization. For HELLA, we say want to converge from 15% to, with our synergies, 10% or less. I think at 10%, they will be still lagging respect to the peers. We have here a lot of room, and we'll have a lot of pleasure to work with the HELLA team to achieve that. Last but not least, how we are financing that. Firstly, there will be the tender offer, which will be launched in September for the 40% of the share inside the public. We have acquired by contract 60% of the share of HELLA. This will be achieved as of closing date.
This will be probably early 2022, but it is definitive. To acquire that, we are making a 10% capital increase reserve to the family of HELLA. What I can tell you is that we are very proud that the family is taking, as Patrick was saying, a share, and with a lock-up, so 18 months, but a share during a very big time and to participate to this fantastic story. 50%, of course, will be paid cash. In the mechanism, we have agreed with them for the 10% and 13.57 million shares. It is based on the price of EUR 42.06, and there will be an adjustment according to the share price of Faurecia at the time of the closing. You see on the right what it means. 9% because 10 on 100 means 110. 10 on 110 is 9%. I receive sometimes the question.
That is why the family will have up to 9% of the share. You see our core shareholders, Peugeot, BPI, Exor, Dongfeng, at 14%. How we have financed that? We have secured a bridge with two banks, Societe Generale and Natixis. I would like first to thank my team, which has made a very good work, and to thank Societe Generale and Natixis teams. EUR 5.5 billion of bridge. You see how it is. I will say split, a bridge to equity because we will issue up to 20% in the rights issue. We have a bridge facility of EUR 4.2 billion, which will be refinanced for bonds and loans, tranche, et cetera. We have EUR 500 million, which will be a term loan if we need it. We will use our cash. We have a lot of cash for something like EUR 600 million.
I will say we can do more if necessary. W Hat I would like to mention, we have made some rating assessments, of course, to see what will happen. The three rating agencies will make the rating committee probably between today and tomorrow. We expect that they will, the three, confirm the actual ratings, the current ratings, which is demonstrating the fact that through this acquisition, we definitely enhance the profile of Faurecia. Things that with EUR 5 billion additional debts, we will confirm the rating. Thanks to the rating teams as well, because they have worked, I will say, in a very short time, two weeks, I will say, to analyze this acquisition. On accretion, I insist, these are made on the synergies of the two business plan. EPS accretion, it is after goodwill amortization.
If I take before goodwill amortization, we are not speaking of 14% and 20% or more than 20%. We are speaking of 20% and 30%. You see that it will be accretive. 2022, there will be some cost to implement that, but it will be accretive from 2023 onwards. More important is the net cash flow per share accretion. I believe a lot in this, and you see what it means, more than 10% and accelerating. On the ROCE, we will be above 10% from 2023 onwards, so much above the WACC of both companies. The WACC of HELLA is estimated at 7.5%. You see that here we are really creating values. Figures are speaking by themselves. The calendar announcement. We will make the tender offer in September, but it will take time because it will be concluded only with the antitrust, I will say, release.
It is why it will be mid-November and probably for the closing will go to early 2022. Of course, it is linked with all, I will say, the time necessary for the process. In the meantime, HELLA will pay the normal dividend for 2021, probably early October.
The takeaways. We are speaking here about the creation of a global automotive supplier with a highly- advanced technology portfolio. We are speaking about the second biggest supplier worldwide. It's a combined business ideally positioned on key verticals: Electric Mobility, ADAS and Autonomous Driving, Cockpit of the Future, Lifecycle Value Management. We are speaking about two companies which have common values and culture with an industry-leading ESG approach, which is, I believe, critical. We are speaking about strong profitability growth and cash generating, allowing a quick deleveraging, which will be our clear priority. The net cash flow generated between 2022 and 2025 will be close to EUR 5.5 billion. Strong accretion and sustainable value creation for shareholders through significant synergies and cost optimization. Finally, a must-own stock, one of the largest free float in the European -listed automotive supplier universe. Sorry.
I suggest now to start the Q&A. I understand that I have to read the questions, and that we will try, Michel and myself, to answer them. The first one is from Gabriel Adler from Citi. Are you considering other divestments in order to accelerate the deleveraging following the deal? Would you consider selling the Clean Mobility division, for example? We are not considering to divest Clean Mobility at this stage. We believe that Clean Mobility is an interesting business and an accretive business for the group for the years to come. Any additional comment, Michel?
The list of the divestments, as you can understand, we don't want to give you the names because if we give a name, there will be discount on the sale price. Sorry for that. You can be sure that in the deleveraging, we want to make at least EUR 500 million on those companies. We have, as well, some divestments to make on Faurecia.
The second one is from Salik Ishtiaq, from Citi again. Can you confirm if the EUR 300 million, three-year term loan is unsecured? Question one. Question two, do you expect debt that refinances the EUR 4.2 billion bridge term loan to be unsecured as well? Question three, what maturity do you expect the new debt that will refinance the EUR 4.2 billion bridge to be? When do you expect to launch this deal? What is the pricing of the new three-year term loan on the bridge loan? This is for you, Michel.
What I can tell you is that all the debts will be pari passu as it is today. The fact that we are keeping the same rating is a clear insurance on that. What I can tell you as well, I did not mention that on the rating, but with the figures I show you, of course, we will not stay at the current rating. We'll go back to the, I will say, initial rating. That means to improve, and this is our ambition anyway, our rating every two years at least. That means to become investment- grade, I think late 2024 or 2025. It is our common ambitions. All three debts will be pari passu, and I think no doubt on that.
On the refinancing, what I was mentioning is that we have forecasted, we said, to issue bonds with different maturities because we want to spread the maturities. As you have seen as well, we have some nice capacity to reimburse. We have as well some costs on our existing debt, so we have the flexibility to do all of this. I will not today say, or to take any commitment on the date. We want to keep the flexibility to do the things at the right time and to optimize the cost of the financing. What we have seen today and what we have seen with the banks is that the global cost of financing, including everything, will be much below 3%.
The next one. What is your thinking around the potential for a proportion of HELLA minorities not accepting the cash offer? Would Faurecia be comfortable having HELLA remain listed? What cost of funding and rights offer discount do you factor into your accretion calculation? Michel, the second question is for you, the first is for me. We are replacing with the 60% the HELLA family who was managing the HELLA group. With 60%, we can execute our cost synergies and our cost optimizations. Of course, we will not stay with 60%, if we wouldn't be able to delist the company, we will live with this. There is no specific need. We have the control of HELLA from day one. The second question, Michel?
For the cost of funding, I repeat, less than 3%, including everything. That means underwriting fees and upfront fees.
We have now a series of questions from Thomas Besson from Kepler Cheuvreux. Could you please clarify the need or not for Faurecia to have a DA over HELLA to control its cash flow and synergies? Explain why it would not be needed, and if there is any minimum level of ownership you seek in HELLA. Michel?
As Patrick was mentioning, it is what is called in German a KGaA. In French, it is a commandite. With 60%, it is why the family was keeping 60%, we have the full control, which means we are nominating the management. Of course, we must do right things, not things against the company, but we can implement all we want, and that means the synergies, because the synergies will benefit anyway to the two companies. At 60%, we don't need any Domination Agreement. It is a fact. Of course, we are making a tender offer, and of course, we will buy all the shares available, and we will be very happy to buy as much as possible.
The second question from Thomas. Could you please qualify your ambitions for the combined entity as presented at the end of your press release? Are they conservative? Do they integrate further potential dilution? Yes, they are conservative. They are prudent. This is what Michel said, and they are not integrating further potential dilutions. Thomas, the next one. Could you please discuss the amount of goodwill PPA we should expect the combined entity to have annually? Shall we assume it is excluded from your adjusted EBIT or EBITDA ambition? Michel.
We have estimated a goodwill statute above EUR 3 billion. We consider that it is a rough estimation that half will be amortized according to the IFRS rules, but this will be a deep work to be done with our auditors. This means that on the basis of eight years, something like that, we have taken into account EUR 190 million of amortization. The EPS accretion I was giving, was with this EUR 190 million amortization.
Again, Thomas, could you please elaborate on potential tax synergies between the two groups and mention the expected tax rate? Michel?
Hello. Tax rate, it's a little early to speak of that. We have some synergies, so we have to be clear. We will see how to implement that. It will depend as well on, how we say, the restructuring we make with the two companies. We have clearly some big room of maneuver on that.
[audio distortion] from Citi. Aside from interior lighting, where the technology overlaps are clear and the strategic partnership already exists, which product overlaps do you believe offer the most exciting opportunity for Faurecia? We do not have overlaps and which is, I think, the very positive aspect of all of that. We have complementarities. Where do we have complementarities? When you look at ADAS and Autonomous Driving, we are coming with our bird eye. We have the automated parking solutions, from assistance to valet parking. We are working on eMirrors. We have some sensors. These will be complemented by HELLA with its radar portfolio, including the 77 GHz, which is critical today. Not only, with a significant and interesting portfolio of sensors and actuators.
I'm also thinking about new systems like the electric power steering with softwares which are allowing failure modes, which is, from my point of view, extremely interesting in the next future and absolutely needed for ADAS and Autonomous Driving. When you look at interior or cockpit electronics, we spoke about the interior lighting, but not only. We have a significant business on displays, where certainly HELLA will be able to complement with the backlighting, with LEDs and MicroLEDs. I think that this is very important. Again, on the 60 GHz radar for the interior monitoring. HMI, which is also developed by HELLA today, sensors and actuators, again. When we spoke about electric vehicles, HELLA is perfectly well-positioned on the three key segments which are the DC-DC converters on 48 V, but also on 400 V, on the onboard charging systems and on the battery management system.
While we are on the advanced battery pack, which is including some of these sensors, and on the hydrogen solutions and the fuel cell solutions. You see that on electronics everywhere, we have possibilities to collaborate on the lighting very clearly, in the interiors area, very clearly. On Lighting, maybe one thing which was also of high interest to us is that some of the new technologies on Lighting are also contributing to new solutions on the ADAS side and on the Autonomous Driving side. There is no overlap. There are additions to be made, and I think that putting together our highly- talented people in Japan and Asia with the ones here in Germany, we will make a great business. The next one from Thomas Besson. Could you please give an indication of the P&L net interest charge for 2022 and 2023 post-deal for a combined entity?
Thomas, it's really more the financial part than the strategic part, which is of interest. For you Michel.
I think it will be close to EUR 400 million, if it is a question.
The next one, Thomas, could you please explain the EUR 42 reference price for the reserved right issue? It's very simple. It's the three months weighted average closed the Friday before the last leakage of information. Gabriel Adler, Citi. Can you elaborate on how you will achieve the EUR 200 million cash optimization targets? The working capital profiles of Faurecia and HELLA are very distinct. Do you see an opportunity to align these or will it be more focused on CapEx synergies?
Roughly, we are speaking of EUR 100 million for each line. CapEx will be clearly to leverage our, I would say, different field. Clearly to align the plans to make combo plans and clearly to massify plans as well. We'll accelerate some restructuring. On the working capital, what I insist, I was giving as this figure of 10% of conversions for the HELLA part. 10% is still above as the peers, so it will be probably, I would say, an intermediary target.
The next question from Thomas Besson. You mentioned revenue synergies, but do you not fear potential revenue losses from clients' concentrations? The answer, Thomas, is no. First of all, when you look at the geographic mix, we are stronger than HELLA in China and in Japan. I think that we will be able here to support HELLA. By the way, some of the joint ventures HELLA has or is in the process to achieve are, again here, complementary to ours. We have no overlap from this point of view. When you look at the U.S., in U.S., we are very much complementary again. HELLA is more on the GM side, we are more on the Ford side. We both are very strong with a famous electric vehicle manufacturer.
When you look at Germany and Europe, we were in a takeoff mode as far as Electronics is concerned in Europe, no problem. It's quite the contrary. I hope that we will quickly benefit from the HELLA intimacy with the German premiums, especially. For the others, if you add up, I think that this is making the interest of this collaboration with HELLA. We are stronger. We have more means and resources to invest in innovation and to support our customers on their global growth. Pierre-Yves Quemener from Stifel. Morning. What has been critical in your view for Hella family holders to pick up Faurecia's bid versus other suitors? Is the agreement on the 60% irrevocable at this stage? Difficult for me in English. Is it Faurecia's intention to seek a Domination Agreement and the following delisting of HELLA shares?
How do you see key partnerships of HELLA, HBPO impacted by contemplated Faurecia- HELLA combinations? Many thanks. Pierre- Yves. What has been critical? I think that from day one, the Hella family explained to us that there were two main domains, equally important, the strategic proposal, and the project for the future and of course, the terms and conditions of the agreement. We are working with HELLA since 2018. We are working quite well together. We had the possibility to assess how close we are in terms of values, in terms of culture, but also in terms of strategic vision. I think this counts. We were also able to show the complementarities. Again, they are very significant. The fit is perfect. We see here the possibility to add the talents, and the resources on both sides in order to accelerate our global profitable growth.
I think that this was probably an important part of the decision. Of course, we had also to be competitive. I think the family was, family is, I should say, very involved in making sure that HELLA's future and HELLA's employees' future will be preserved in the best possible way.
Patrick, you could mention that you worked in HELLA before.
I worked for HELLA between 1991 and 1994. At that time, the CEO of HELLA was Dr. Behrend. Is it Faurecia intention to seek a Domination Agreement? Michel answered this. The answer is very clearly no. Is it our intention to delist HELLA shares? If we would be at 95%, yes, we would do it. There's no obligation for us in terms of controlling the company. How do you see key partnerships of HELLA? I think that this is too early to be answered. We will have to take the time with the HELLA management team to see how we will manage these partnerships, which we are valuing. [Atish Davda] from [Second T]. Why was the transaction structured as cash and stock for the Hella family, and only cash for all other shareholders? Would Faurecia consider offering shares to minority investors instead of all cash?
Would you like to continue to drive the participating in the upside in the combined company? Maybe one thing. Why this structure? First of all, we stayed in existing agreements, so we didn't have to go back to our shareholders in order to ask for different authorizations. This is one thing. The first thing is that sharing in kind 10% of shares, we found it an interesting move because we are interested to have the Hella family as one of our shareholders. It is, as I said, increasing the stability of the combined group, and it has given a very strong sign to the HELLA employees, but also to Lippstadt, that the family stays involved in the future of the combined group.
Patrick, if you allow me, we have structured the financing with 20% in share, 80% with debts. It is a good balance that we have defined to keep our rating first. Through the deleveraging, through this, I will say low contribution from capital increase, we will create as a big value creation. We have, as we said it before. It was different balances in order to ensure the value creation.
Is the SPA with the Hella family irrevocable? Can the family accept a higher offer from a third party? Michel?
No.
No.
No. Sorry. No. That's the answer.
Stephanie Vincent from JPMorgan. What is your intention with the HELLA bonds? Do you believe the change of control option will be triggered there? Thank you.
I cannot answer to this question, because, of course, there is a closer change of control and I think a close link with the rating. We'll see what investors will do. What I can tell you is that we have anticipated that. First, HELLA has anticipated that because they have the cash. Second, we have kept a big liquidity. If HELLA needs, we make our homework. We have, I will say, anticipated the case that investors will trigger, I will say, the clauses.
José Asumendi: Patrick, congratulations on the transaction. Can you talk about the opportunity to accelerate the product development in high-speed ADAS, as well as high-voltage solutions? Also from a customer or a geo perspective, where do you see the biggest opportunity for Faurecia? I told you ADAS and Autonomous Driving are belonging to the few priorities we have set. We are conscious that we have to converge between low-speed ADAS and high-speed ADAS. We think that we have sensors and actuators which are critical to achieve this. We have to now select the functions which are relevant, and we have also, of course, to take into account the new electronic and software architectures. It's a little bit too early to answer to this question, but be clear that this is an identified priority to us.
From the customer and geo perspectives, I think that we have a lot of possibilities in Asia, and I think that HELLA would confirm this. On the Electronics side, we have the possibility to grow our portfolio in Europe on an accelerated form. I think that really the biggest potential for growth is Asia. Do you intend to reach an investment-grade rating? I think that Michel answered this question. The answer is yes, and we would like to achieve it before 2025. I think that this is ending the different questions. Do we have others? No.
No. We checked, Patrick, but apparently not.
Okay. In which case, I would like to thank you for your attention, for your presence.