Getrag is selling its entire Axle Business to GKN plc, the UK-based global engineering company. With this acquisition, GKN’s driveline business achieves a global market leader position in this segment.
Additionally, Getrag is selling to GKN an exclusive license for electric drivetrain technology to be used in electric and certain hybrid applications mainly for the markets in Europe and North America.
Getrag’s Axle Business is a Tier 1 supplier for all-wheel-drive and rear-wheel-drive driveline systems solutions. The business comprises the companies Getrag All Wheel Drive AB with the European locations Köping, Sweden and Cologne, Germany as well as Getrag Corporation with the North American locations in Sterling Heights, Michigan and Newton, North Carolina. Closing of this transaction is expected by the end of September 2011, subject to customary conditions and necessary regulatory approvals.
The sale is part of Getrag’s consolidation and globalization strategy. It contributes to reduce complexity in the shareholder structure of the Getrag Corporate Group and to create more independence and freedom to concentrate on the global core business of transmission technology.
The demand for our dual clutch transmissions steadily grows in China, Europe and America. We see our future in this technology and want to make sure that we are able to satisfy the growing number of customers.—Mihir Kotecha, CEO of Getrag Corporate Group