BorgWarner completes SSE EV charging, Smart Grid businesses acquisition
BorgWarner has announced the successful completion of its acquisition of Hubei Surpass Sun Electric's (SSE's) Electric Vehicle Charging Solution, Smart Grid and Smart Energy businesses. The acquisition is an important move for the company's electrification business in Asia and complement its existing charging footprint in Europe and North America.
Initiated in September last year, BorgWarner entered into an ETA under which it agreed to acquire the aforementioned businesses of SSE. The transaction has an enterprise value of up to RMB 410 million according to the company sources.
Headquartered in Xiangyang, Hubei province, China, SSE's electrification business supplies patented electric vehicle charging solutions to customers in China and 70-plus countries. It is said to have delivered over 50,000 charging points and has led the engineering, procurement, and construction (EPC) of more than 250 charging station sites.
SSE's charging and electrification capabilities in China are expected to complement BorgWarner's existing capabilities in Europe and North America. SSE's 2022 revenues for the electrification business are expected to be approximately RMB 180 million, claims BorgWarner.
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"We believe SSE is an excellent strategic fit as BorgWarner bolsters its charging expertise and footprint, capitalizing on the profound industry shift towards electrification", the company commented, on the recent development.
Earlier, during the initiation of the acquisition process, Frédéric Lissalde, President and CEO of BorgWarner, said, "This transaction makes good business sense as we continue to bolster our fast-charging capabilities globally. SSE will bring enhanced offerings while supporting Charging Forward, our strategy to accelerate our growth in electrification. We look forward to welcoming their talented team to BorgWarner."