Winterthur - Autoneum has signed an agreement to acquire the automotive business of Borgers, a supplier of vehicle textile acoustics protection, insulation and trims.
The €117 million deal to acquire Borgers from insolvency is expected to close in April 2023 following antitrust clearance and is expected to generate a positive earnings per share contribution from the outset.
For Autoneum, the product and customer range of Borgers is to a great extent complementary to its own, particularly the latter's wheel arch liner and trunk liner product lines as well as its truck business.
In the field of textile wheel arch liners, Borgers is regarded as the European market leader while the product range is also distinguished by sustainable and fully recyclable products. The deal will also enhance Autoneum's presence outside Europe.
Welcoming the deal, Matthias Holzammer, chief executive officer of Autoneum, said: “The acquisition of Borgers is based on a sound and convincing industrial logic. The technologies and product portfolios of the two companies complement each other ideally."
At its headquarters in Bocholt, Germany, Borgers a;sp has a high level of competence in the field of materials and product development with a technical centre as well as highly qualified and committed employees, he added. "For this reason, we intend to integrate Borgers into our existing global product development and customer strategy. We consider the Bocholt location as a technical center of competence for the product solutions wheel arch liners, trunk systems as well as for product and process development of textile carrier materials based on needlepunch technology. Ensuring a high-quality supply of the relevant components to customers is a top priority, both in the short and long term.”
Hans-Peter Schwald, Chairman of the Board of Autoneum Holding Ltd, added: “With the acquisition of Borgers, Autoneum is further extending its global market leadership in sustainable and lightweight acoustic and thermal management solutions for vehicles. This is an important strategic step in the development of Autoneum.”
In fiscal year 2021, the Borgers Automotive Group generated revenue of €610 million with around 4 700 employees.
