Tenneco Inc. announced in November that it has signed a definitive agreement to acquire Öhlins Racing A. B., the Swedish premium performance suspension manufacturer.
Öhlins has long been associated with motorsports and high-end performance machines. Brian Kesseler, co-CEO of Tenneco, said: “Tenneco’s 20-year relationship with Öhlins has delivered world-class products in the intelligent suspension market and provides a strategic entry into advanced performance communities with premium branded products and proprietary Continuously Controlled Electronic Suspension Valve (CES) technology.”
Kesseler continued, “Öhlins’ technology team will allow us to rapidly grow our product offerings for current and future customers, as well as help us win a larger share of business in developing mobility markets. I am delighted to welcome the Öhlins team as an important part of our new Aftermarket and Ride Performance company.”
The acquisition of Öhlins will accelerate the development of advanced original equipment (OE) intelligent suspension solutions. Tenneco will also be able to fast-track it to the market, in addition to enhancing its own portfolio in broader mobility markets with the addition of the Swedish firm’s range of premium OE and aftermarket automotive and motorsports performance products.
Founder Keith Öhlin will retain a minority interest in Öhlins and collaborate with Tenneco to assert continuity in his strategic and technological vision. He said, “I am proud of the Öhlins team and all we have accomplished over the last 43 years. We are excited to continue to deliver innovative technologies that can accelerate growth with the full strength and resources of Tenneco behind us.”
The acquisition will be finalized in the first quarter of 2019 subject to regulatory approvals and other customary closing conditions. The deal is valued at approximately $160 million.
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