BorgWarner completes acquisition EV battery maker AKASOL
Automotive supplier BorgWarner Inc. has completed the acquisition of German EV battery manufacturer AKASOL AG. The acquisition aimed at strengthening e-mobility is expected to significantly strengthen BorgWarner's commercial vehicle and industrial electrification capabilities.
Through this acquisition, BorgWarner also aims to capitalize on what it believes to be a fast-growing battery systems market.
"We are pleased to complete our acquisition of AKASOL and welcome AKASOL's talented employees in Germany and the United States to BorgWarner," said Frédéric Lissalde, President and CEO, BorgWarner. "AKASOL is an excellent strategic fit as BorgWarner seeks to continue to expand its electrification portfolio and capitalize on the profound industry shift towards electrification."
As per the official statement released by AKASOL represents approximately 20 to 25 percent of the inorganic sales underlying Project Charging Forward, contributing ~$600 million in expected electric vehicle revenue by 2025. Project Charging Forward was announced in March 2021 and aims to grow the company's revenue from electric vehicles to ~45 percent of total revenue by 2030.
As the final step of the merger, the remaining shares of AKASOL AG have been transferred to ABBA BidCo AG, a subsidiary of BorgWarner. Shares of AKASOL AG will no longer be traded on the relevant stock exchanges however it will continue to exist as an independent brand.
Sven Schulz, the former CEO of AKASOL, is expected to continue in a consulting role with BorgWarner through the second quarter of the year.