Asia Tech Wire (Sep 19) -- Apple's Chinese supplier Luxshare Precision Industry Co., Ltd. (002475.SZ) is buying a German automotive wiring harness maker for 525 million euros ($582 million).

Stefan Pierer, an Austrian entrepreneur and sole shareholder of Leoni AG, signed a stake sale agreement with Luxshare CEO Grace Wang in Nuremberg, a statement showed on Tuesday.

Under the agreement, Luxshare will acquire a 50.1% stake in Leoni and hold 100% of Leoni Kabel GmbH, Leoni's Automotive Cable Solutions (ACS) division.

Luxshare previously disclosed the investment plan, for a total purchase consideration of €525 million.

Founded in 1917, Leoni is a leading German supplier of wires, cables, and other products for the automotive and other industries.

Luxshare has previously focused on the consumer electronics field, and is currently one of the core suppliers to the Apple supply chain, for which it produces products such as the iPhone, Apple Watch, Airpods and Apple Vision Pro.

In recent years, Luxshare has been working in the automotive industry. And in February 2022, the company announced that it had signed a deal with Chinese automaker Chery to form a joint venture specializing in the development and manufacturing of new energy vehicles (NEVs).

Luxshare aims to become a global leader among Tier1 suppliers of automotive components within three five-year periods.