BorgWarner To Buy Electric Hybrid Systems Business Unit From Italy's Eldor In €75 Mln Deal

(RTTNews) - Automotive supplier and eMobility firm BorgWarner Inc. (BWA) announced Monday its Share Purchase Agreement to acquire Eldor Corporation S.p.A.'s Electric Hybrid Systems or EHS business segment for 75 million euros at closing.

The deal also comprises a potential additional amount due subject to an earnout.

The transaction is expected to close in the third quarter of 2023, subject to satisfaction of closing conditions.

Italy -based Eldor's EHS segment includes on-board chargers or OBCs, DC/DC converters, and integrated high voltage boxes. All these are expected to complement BorgWarner's existing product portfolio.

The acquisition is expected to enhance BorgWarner's capabilities in engineering compact and efficient 400V and 800V on-board chargers. BorgWarner expects that Eldor's EHS business will generate 25 million euros of revenue for the full year 2023.

Relative to its Charging Forward 2027 targets, BorgWarner expects that revenues will be approximately 250 million euros in 2027.

Frédéric Lissalde, President and CEO of BorgWarner, said, "Eldor's technologies are a great complement to BorgWarner's ePropulsion portfolio, particularly as it relates to expanding in high-voltage power electronics beyond the inverter."