Germany’s billionaire Schaeffler family is considering a buyout of Vitesco Technologies Group AG to boost their presence in the electric vehicle supply chain, people with knowledge of the matter said.
(Bloomberg) — Germany’s billionaire Schaeffler family is considering a buyout of Vitesco Technologies Group AG to boost their presence in the electric vehicle supply chain, people with knowledge of the matter said.
The industrialists, who also control ball bearing maker Schaeffler AG, could announce their plans as early as Monday, the people said, asking not to be identified because the information is private.
Shares of Vitesco have gained 39% this year, giving the firm a market value of about €3 billion ($3.2 billion). Schaeffler family holding companies already own about 49.9% of Vitesco, according to its website.
Vitesco makes powertrain systems used in electric and hybrid vehicles, as well as traditional cars with internal combustion engines. It was spun off from Continental AG, an automotive supplier backed by the Schaeffler family, in 2021.
Deliberations are ongoing, and there’s no certainty they will lead to a deal, the people said. Representatives for Schaeffler and Vitesco couldn’t immediately be reached outside regular business hours.
The Schaefflers have been studying ways to reshape their industrial empire as the automotive industry grapples with the shift toward electric vehicles.
Continental’s chief executive officer recently told German newspaper Welt am Sonntag that he’s open to selling businesses if it will help create value. The company is already considering divesting parts of ContiTech, a smaller unit that also makes car parts including drive belts and engine pulleys.
–With assistance from Christoph Rauwald.
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