AUBURN HILLS, Mich. — Global powertrain supplier BorgWarner has completed its acquisition of the Traction Systems division of Haldex Group. The division was purchased for $205 million.
From production facilities in Sweden, Mexico and Hungary, Haldex Traction Systems supplies its leading front-wheel drive based all-wheel drive systems for passenger car and crossover vehicles. Customers include Volkswagen, Audi, Skoda, Seat, Lamborghini, Bugatti, Volvo, Land Rover, Saab and GM.
"As demand for improved fuel economy continues to escalate, crossover vehicles are growing in popularity,” said Timothy Manganello, BorgWarner chairman and CEO. “OEMs are shifting away from traditional body-on-frame, rear-wheel-drive-based all-wheel drive systems toward smaller, lighter front-wheel-drive-based all-wheel drive systems, which provide better fuel economy. Haldex Traction Systems is a true success story. Adding their technical expertise and committed workforce to BorgWarner will help accelerate our global growth in drivetrain systems.”
Manganello added that the combination will offer customers a new and broader range of front-wheel-drive-based all-wheel drive systems as well as electric all-wheel drive and torque vectoring technologies.
"With a strong European base, the acquisition not only compliments our product and customer mix but also enhances our ability to bring these advanced technologies to our customers around the globe," he said.
