Connect with us

Manufacturing

Update On BorgWarner’s Delphi Acquisition

BorgWarner recently issued a statement regarding Delphi Technologies’ Revolver Draw Down.

Advertisement

BorgWarner Inc. recently issued the following statement:

Advertisement
Click Here to Read More
Advertisement

On March 30, 2020, BorgWarner Inc. was informed that Delphi Technologies PLC, a public limited company incorporated under the Laws of the Bailiwick of Jersey, provided notice to the lenders pursuant to its Credit Agreement, dated Sept. 7, 2017, as amended, to draw the full available amount under the revolving facility thereunder (the “Revolver Draw”), resulting in a total of $500 million outstanding under the revolving facility.

Following the Revolver Draw, on March 30, 2020, BorgWarner sent a written notice to Delphi Technologies asserting that Delphi Technologies materially breached Section 5.1(b)(xii) of the Transaction Agreement, dated as of Jan. 28, 2020, between BorgWarner and Delphi Technologies as a result of Delphi Technologies effecting the Revolver Draw without BorgWarner’s prior written consent and asserting that, if such breach is not cured within 30 days, BorgWarner has the right to terminate the agreement. BorgWarner received a response letter from Delphi Technologies on that date disputing BorgWarner’s breach assertion on the basis that BorgWarner unreasonably withheld its consent to the Revolver Draw. Both BorgWarner and Delphi Technologies continue to believe in the long-term strategic value of the transaction and, at this time, are still working together towards closing the transaction in the second half of 2020. There can be no assurance, however, that BorgWarner and Delphi Technologies will reach a mutually acceptable resolution or that the transaction will close.

Advertisement

Kinedyne Canada Limited Awarded WBE Certification

SMP Announces Winners Of 'Standing Together' Promotion

StrongArm ProGlide Offers Safer, Easier Tailgate Operation

BBB Acquires M&R Precision Parts From Abac Solutions

Advertisement

POPULAR POSTS

Newsweek Ranks Goodyear Among Greenest Big Companies

Sponsored Content

Why Trucks Are The Future Of The Aftermarket Sweet Spot

Events

Editor’s Note: AMN On Holiday

Legislative

VA Gov. Signs Vehicle Safety Inspection Program Legislation

Connect