BorgWarner Buying Remy InternationalPosted: Updated:
BorgWarner Inc. (NYSE: BWA) has announced the acquisition of Pendleton-based Remy International Inc. (Nasdaq: REMY). The deal is valued at an estimated $1.2 billion. The Michigan-based manufacturer believes the combination will result in at least $15 million in efficiencies over two years. Remy President and Chief Executive Officer Jay Pittas says his company's offerings will compliment BorgWarner well and adds the deal brings together "two long-standing industry leaders."
Verrier says Remy International adds key technology and operations to the company's portfolio. "The acquisition will be another step in executing our plan, to profitably grow revenue to $15 billion by 2020."
Remy Chairman John Weber calls the acquisition "an opportunity to market our products to a much broader and diverse group of original equipment manufacturers." He adds that both companies have a presence in the global powertrain market, but in separate areas.
Remy has 6,600 employees in 10 countries throughout the world.
BorgWarner executives believe the merger will help it grow in all segments.