Investing.com -- Tesla (NASDAQ:TSLA) Inc. has agreed to purchase specific assets from Manz AG, a German automation systems supplier currently undergoing insolvency proceedings due to a liquidity crisis, Germany’s Zeit Online reported on Tuesday.
The agreement involves the acquisition of Manz’s Reutlingen site by Tesla Automation, a subsidiary of Tesla Inc. that manufactures special-purpose machines at three different sites in Germany. In addition to acquiring tangible movable assets, Tesla Automation will also be taking on over 300 employees from Manz. The terms of the agreement, including the purchase price, have not been disclosed by either party.
The acquisition, however, will result in approximately 100 employees from Manz losing their jobs. Manz, a company that has invested significantly in battery cell production technology, filed for insolvency in December. This was a result of a sustained period of market decline that led to a drop in sales and escalating losses.
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