Brose acquires electric motor operations from Continental AG

Coburg (December 21, 2007). The Brose Group is to acquire Continental AG’s electric motor operations. This comprises the former Siemens VDO’s electric motor drive operations and Continental AG’s engine cooling business. The acquisition is subject to approval by the antitrust authorities. Transfer of business is scheduled for April 1, 2008.
 
Brose is a leading producer of mechatronic components and systems for the vehicle body and interior. At the end of 2007, Brose will achieve sales of 2.5 billion euros with 9,800 employees working at 38 locations in 20 countries.
 
Following the purchase of the door latch business from Bosch in 2003, the company will further enhance its expertise in automobile technology with the electric motor operations from Continental.
 
“In-house production of a defined scope of key components is as much a part of our strategy as the gradual enlargement of our range by adding products with a promising future. Both of these aspects can be ideally fulfilled with the acquired motors business,” says Jürgen Otto, CEO of the Brose Group.
 
Brose’s new business comprises electric motors for window regulators, anti-lock braking systems (ABS/ESC), heating/ventilation, engine cooling and electric power steering.
 
As a market leader for window regulators, door systems and seat adjusters, Brose is the world’s biggest buyer of electric motors for these applications with over 70 million units per annum.
 
Conti’s electric motor operations will achieve a business volume of 740 million euros in 2007. There are 4,200 employees working at 13 locations in Europe and overseas. The four German locations include the production facilities in Würzburg and Berlin as well as the development offices in Nuremberg and Oldenburg. Other production sites are located in La Suze/France,  Trut­nov/Czech Republic, Budapest/Hungary, Gainesville/USA, Reynosa/Mexico, Salto/Brazil as well as in Shanghai, Zhangjiagang and Changchun(all in China).
 
Including the new future business segment of “electric motors”, Brose will achieve a consolidated business volume of 3.1 billion euros with more than 14,000 employees at 51 locations worldwide. This will make the company founded by Max Brose in 1908 the fourth-largest family company in this industrial sector.
 
The two Upper Franconian Brose locations of Coburg and Hallstadt will also benefit from the increase in business activities. While numerous central departments in Coburg coordinate important company functions internationally, Hallstadt is where, among other things, the development and production of electronic control-units for window regulator and seat adjuster motors are based. This will result in numerous opportunities and interfaces to the new product range. 
 
Press contact:
Gabi Rujoub
Telephone: 09561 21-1653
Fax: 09561 21-1704
E-mail: presse@brose.com