Huf to acquire Beru TPMS business
An agreement between Huf Hülsbeck & Fürst GmbH & Co. KG and BorgWarner Beru Systems GmbH has been reached regarding Huf Electronics’ take over of BorgWarner Beru’s tyre pressure monitoring system business and acquisition of all shares in its Beru Electronics GmbH subsidiary. Subject to approval by the antitrust authorities the acquisition and merger of the Bretten, Germany based subsidiary, which employs some 230 people, will take place at the end of this year or early in 2012.
Beru Electronics is one of the pioneers in the development and production of tyre pressure control systems, having entered the sector following its purchase of Ami Doduco’s wheel pressure control systems division in 1999. Beru now holds a significant share of the European market. “We are planning to expand this segment even further and will use synergies to our existing product range. The product spectrum of Huf and Beru Electronics match quite well,” commented Huf Group CEO Ulrich Hülsbeck.
Numerous countries have now passed or are introducing legislation making the fitment of TPMS and tyre pressure control systems in new vehicles compulsory, and this massive increase in TPMS adoption has reduced unit prices. Yet it appears that despite a surge in the number of TPMS units produced each year, the business doesn’t seem as lucrative as it once was. Some manufacturers of these products are having a tough time of it – even global TPMS leader Schrader is up for sale at the moment.
The Huf Group is a global supplier of automotive electronic and mechanical locking systems, car access systems, passive entry systems, door handle systems, driver authorisation and tailgate systems. In 2010, the group achieved a turnover of some 847 million Euros. Huf Electronics was formerly the electronics division of Kiekert AG before its acquisition by Huf in 2008; it is now the business under which Huf bundles all electronic production. The unit employs approximately 5,500 people in 16 companies located in Germany, the USA, Mexico, Brazil, Great Britain, Portugal, Spain, Poland, Romania, China, India, Japan and Korea.