Acquisition
of Intercable Automotive Solutions broadens Aptiv's portfolio of high-voltage system
solutions
DUBLIN – Aptiv PLC (NYSE: APTV), a global technology company focused on
making mobility safer, greener and more connected, announced today a definitive
agreement to acquire an 85% equity stake in Intercable Automotive Solutions, a
subsidiary of Intercable S.r.l., for €595 million, subject to customary post-closing
adjustments.
Based in Bruneck, Italy with manufacturing
facilities in Europe and Asia, Intercable Automotive Solutions is an industry
leader and pioneer in high-voltage power distribution and high-precision
connection technologies. With over €250 million in 2022 estimated sales, the
business designs and manufactures innovative solutions
that address the most complex challenges in vehicle electrification. Their
product portfolio includes seven generations of high-voltage busbar
technology, solid-state electrical centers, battery cell interconnect systems,
and other high-voltage power distribution solutions. Leveraging Intercable's
highly automated manufacturing processes, innovative product design, and strategic
relationships with key European automotive OEMs, Aptiv will enhance its
position as a global leader in vehicle architecture systems.
"Intercable Automotive Solutionsis an excellent strategic fit with Aptiv's Signal & Power
Solutions segment," said Kevin Clark, Chairman and CEO of Aptiv. "The
combination strengthens our position as a full system supplier for electric
vehicle manufacturers. In addition, Intercable's differentiated technology
design and manufacturing capabilities enable a more efficient and
cost-effective vehicle assembly operation for our customers.”
"We are very excited about the
opportunities ahead," said Intercable's CEO, Klaus Mutschlechner, who will
continue to lead Intercable Automotive Solutions in his current role. “Joining
forces with Aptiv will enable us to bring our advanced products and
technologies to customers around the world by leveraging their extensive scale
and global reach." The Mutschlechner family, who founded Intercable in
1972, will retain 15% ownership interest in the business.
The transaction is subject to regulatory
approval and other customary closing conditions and is expected to close before
the end of 2022. Upon completion of the transaction, Intercable Automotive will
operate as a stand-alone business unit within Aptiv's Signal & Power
Solutions segment. The transaction is expected to be accretive to EPS in 2023.
Advisors
Goldman Sachs & Co. LLC is serving as
exclusive financial advisor to Aptiv and Clifford Chance is serving as legal
advisor. BNP Paribas is serving as exclusive financial advisor to Intercable
and Advant Nctm is serving as legal advisor.
About Aptiv
Aptiv PLC is a global technology company
that develops safer, greener and more connected solutions enabling a more
sustainable future of mobility. With more than 190,000 employees strategically
located to serve customers globally, Aptiv is solving the industry's toughest
challenges with scalable, intelligent platforms that accelerate the transition
to software-defined electric vehicles. To learn more about the Company's unique
brain and nervous system portfolio and its commitment to sustainability, visit aptiv.com.
About Intercable Automotive Solutions
Intercable Automotive Solutions, a division
of Intercable S.r.l., is a leading
provider of automotive power distribution and connection technologies, with a
comprehensive portfolio of insulated and over molded busbars for high voltage
applications, as well as electrical centers, battery cell interconnect systems,
and other power distribution technologies. For more information about Intercable,
intercable.com.
Forward-Looking Statements
This press release, as well as other
statements made by Aptiv PLC (the "Company"), contain forward-looking
statements that reflect, when made, the Company's current views with respect to
current events, certain investments and acquisitions and financial performance
including the potential impact of the proposed acquisition of Intercable
Automotive Solutions, a division of Intercable S.r.l. Such forward-looking
statements are subject to many risks, uncertainties and factors relating to the
Company's operations and business environment, which may cause the actual
results of the Company to be materially different from any future results. All
statements that address future operating, financial or business performance or
the Company's strategies or expectations are forward-looking statements.
Factors that could cause actual results to differ materially from these
forward-looking statements include, but are not limited to, the following:
global and regional economic conditions, including conditions affecting the credit
market; uncertainties posed by the COVID-19 pandemic and the difficulty in
predicting its future course and its impact on the global economy and the
Company's future operations; uncertainties created by the conflict between
Ukraine and Russia, its impacts to the European and global economies and our
operations in each country; fluctuations in interest rates and foreign currency
exchange rates; the cyclical nature of global automotive sales and production;
the potential disruptions in the supply of and changes in the competitive
environment for raw material and other components integral to the Company's
products, including the current semiconductor supply shortage; the Company's
ability to maintain contracts that are critical to its operations; potential
changes to beneficial free trade laws and regulations such as the United
States-Mexico-Canada Agreement; the ability of the Company to integrate and
realize the expected benefits of recent transactions; the ability of the
Company to attract, motivate and/or retain key executives; the ability of the
Company to avoid or continue to operate during a strike, or partial work
stoppage or slow down by any of its unionized employees or those of its
principal customers; and the ability of the Company to attract and retain
customers. Additional factors are discussed under the captions "Risk
Factors" and "Management's Discussion and Analysis of Financial
Condition and Results of Operations" in the Company's filings with the
Securities and Exchange Commission. New risks and uncertainties arise from time
to time, and it is impossible for us to predict these events or how they may
affect the Company. It should be remembered that the price of the ordinary
shares and any income from them can go down as well as up. The Company
disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events and/or
otherwise, except as may be required by law.