BorgWarner to acquire electric hybrid systems business
By Becky Schultz23 June 2023
eMobility solutions provider BorgWarner Inc. announced it has entered into a share purchase agreement to acquire the Electric Hybrid Systems (EHS) business segment of Eldor Corp. for 75 million euros ($81.7 million USD) at closing, with a potential additional amount due subject to an earn-out, the announcement stated.
Eldor’s EHS segment, which is headquartered in Italy, manufactures onboard chargers, DC/DC converters and integrated high-voltage boxes. The addition of these products to its portfolio is expected to enhance BorgWarner’s capabilities in engineering 400V and 800V onboard chargers that are compatible with the global variety of regional grid configurations, while bringing cost-effective high-frequency DC/DC converter technology to the product lineup.
“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,” said Frédéric Lissalde, president and CEO of BorgWarner. “As we continue with our Charging Forward M&A strategy, we look forward to welcoming Eldor’s talented team to BorgWarner later this year.”
Pasquale Forte, president of Eldor Corp., added that BorgWarner represents the best opportunity for the Eldor EHS team to grow at a global scale. “I am proud that the value we have built together so far has been well recognized and I thank them for the passion, dedication, and skills they have demonstrated over the years,” he said.
BorgWarner expects that the EHS business will generate €25 million of revenue for the full year 2023. Relative to its Charging Forward 2027 targets, the company expects revenues will be approximately €250 million in 2027.
Closing on the EHS acquisition is expected in third quarter 2023.