BorgWarner To Acquire Delphi Tech In $3.3 Bln Deal - Quick Facts

(RTTNews) - BorgWarner Inc. (BWA) agreed to acquire Delphi Technologies Plc (DLPH) in an all-stock transaction that values Delphi Technologies' enterprise value at about $3.3 billion.

As per the terms of the agreement, Delphi stockholders would receive a fixed exchange ratio of 0.4534 shares of BorgWarner common stock per Delphi share.

Upon closing of the transaction, BorgWarner stockholders are expected to own about 84% of the combined company, while Delphi stockholders are expected to own about 16%.

The transaction is expected to be meaningfully accretive to adjusted GAAP earnings per share in the second full year after closing.

The BorgWarner-Delphi transaction is expected to close in the second half of 2020

The combined company will be led by Frédéric Lissalde, BorgWarner's President and CEO, and Kevin Nowlan, BorgWarner's CFO, and will operate as BorgWarner. The combined company will be headquartered in Auburn Hills, Michigan.

BorgWarner also announced that its Board authorized a share repurchase program of up to $1 billion to be executed over the next three years.