LucasVarity to Reorganize as U.S. Firm

LucasVarity, a British maker of automotive brakes, said it will reorganize as a U.S.-based company and exchange current shares for new shares in the company, in an effort to move closer to its big customers and take advantage of cheaper borrowing costs. The company will shift its headquarters to Buffalo, N.Y., and list its shares on the New York Stock Exchange. The move will bring LucasVarity closer to its biggest customer, Detroit-based General Motors Corp. LucasVarity, the world’s second-largest auto brakes maker, is on the prowl for acquisitions, and executives said a U.S. base also will allow it easier access to capital. LucasVarity’s American depositary receipts closed up 81 cents at $35 on the NYSE.