MILAN (Reuters) – Italy’s Brembo stated on Friday it had agreed to purchase suspension expertise producer Ohlins Racing for $405 million, within the premium brake maker’s greatest ever acquisition.
Swedish-based Ohlins will likely be absolutely acquired from Apollo International Administration-backed Tenneco and will likely be paid by way of accessible money, Brembo stated in a press release.
Brembo Govt Chairman Matteo Tiraboschi stated Ohlins was a “sturdy match”, serving to it broaden its choices for the automotive market.
“With this addition, we take one other step ahead in our technique to offer built-in clever options to our clients, leveraging synergies throughout key applied sciences within the automobile’s nook,” he stated.
Brembo, which is managed by Italy’s Bombassei household, with a stake of round 70%, earlier this month raised over 280 million euros in money by way of the sale of its complete 5.6% stake in tyre maker Pirelli, a transfer that additionally ended hypothesis a few merger between the 2 Italian teams.
The assertion added that Ohlins Racing was dedicated to growing the following technology of mechatronic suspension expertise for each street and observe, reinforcing “Brembo’s mission to be an answer supplier for future mobility”.
With a income anticipated to achieve round $144 million on the finish of the yr, Ohlins Racing produces a variety of merchandise, together with shock absorbers, entrance forks, steering dampers, software program and algorithms. It is usually a provider of motoracing championships, together with Method 1 and MotoGP.
The group has 500 staff throughout two manufacturing amenities, in Sweden and Thailand, two R&D centres and 4 distribution and testing branches within the U.S., Germany, Thailand and Sweden, Brembo stated.
“As we be a part of forces with Brembo, we’re excited to unlock new progress alternatives and leverage our respective strengths and property to drive innovation and ship even higher worth to our clients and staff,” stated Tom Wittenschlaeger, CEO of Ohlins Racing.
The acquisition is anticipated to shut in early 2025.
BofA Securities is appearing as monetary advisor to Brembo, whereas Jefferies is appearing as lead monetary advisor to
Tenneco.