Romeo Power, Inc. (“Romeo Power” or the “Company”), energy technology supplier delivering advanced electrification solutions for complex commercial vehicle applications, announced that it has completed its previously announced acquisition from BorgWarner Inc. (“BorgWarner”) of its interest in the joint venture (“JV”) between Romeo Power and BorgWarner for consideration purchase price of $28.6 million, using cash on hand.
Transaction Highlights:
- Acquiring BorgWarner’s interest in the JV frees the company from restrictions that significantly limited the scope of its commercial activities, which now will enable the company to commercialize its products for use in applications beyond specific classes of heavy-duty commercial vehicles and in geographies worldwide.
- Romeo Power now secures all future decision-making and investment authority regarding the development and commercialization of its valuable intellectual property.
“Over the last several months we have worked toward dissolving our joint venture with BorgWarner and acquiring BorgWarner’s stake in the JV. Now with the acquisition complete, Romeo Power has a much-enhanced ability to dictate its own operational and commercial future,” commented Susan Brennan, chief executive officer of Romeo Power. “We have a much wider potential market in which to grow our business in vehicle electrification and to pursue markets beyond that of traditional heavy-duty commercial vehicles. We also will be able to make a determination about entering new geographies to market our existing products and future leading technology when the time is right.”
Brennan concluded, “With the rights and assets of the JV now fully under our control, we are much better positioned to leverage our electric battery technology, our intellectual property, and the prior investments we have made in R&D, as we further advance our commercial development and reinforce our leading competitive position.”
