Trelleborg has signed an agreement in principle with Freudenberg to sell its shares in TrelleborgVibracoustic to Freudenberg. The proposed transaction represents the conclusion of Trelleborg’s planned exit from the joint venture.

The transaction is subject to signing of a final agreement and, thereafter, conditional upon the approval from relevant authorities. The transaction is expected to be complete in the second quarter of 2016.

“TrelleborgVibracoustic has successfully integrated two global leaders within automotive antivibration solutions and, in the process, delivered significant synergies, improved its footprint and strengthened its position over the past years. Throughout this journey, we have enjoyed great co-operation with Freudenberg,” said Peter Nilsson, president and CEO of Trelleborg.

Nilsson added that the transaction allows Trelleborg to further focus on its overall strategy aimed at developing leading positions in selected segments.

The transaction is based on an enterprise value of EUR 1.8 billion (approx. $2 billion USD) for TrelleborgVibracoustic.

TrelleborgVibracoustic is currently undergoing a process to change its name to Vibracoustic.