Federal-Mogul completes Honeywell Friction business purchase
Federal-Mogul Holdings Corporation announced yesterday that its Motorparts division has completed the acquisition of certain business assets of the Honeywell Friction Materials business. The Honeywell Friction Materials business is headquartered in Glinde, Germany, with significant operations in Romania and China. With the business acquisition, Federal-Mogul Motorparts takes on the Jurid brand name.
“The acquisition of Honeywell’s friction business substantially strengthens the manufacturing and engineering capabilities of Federal-Mogul Motorparts’ current global braking portfolio,” said Daniel Ninivaggi, Federal-Mogul co-CEO and Federal-Mogul Motorparts CEO. “This acquisition enables us to accelerate our long-term strategy of enhancing our core braking product lines with a globally competitive footprint and market-leading technology. It also further strengthens our market leadership in the OE and aftermarket segments, particularly in Europe and Asia.”
The acquired business operates only in Europe, China and Brazil and not in the United States. As described in the definitive transaction agreements, the transaction does not include the Bendix name or line of products or any assets, liabilities or business in the United States. In addition, as further described in the definitive transaction agreement, Honeywell retains any and all liability for asbestos product liability or similar claims and has committed to indemnify Federal-Mogul for such claims.
Federal-Mogul Motorparts offers brake friction materials for original equipment light vehicle, commercial vehicle and heavy-duty markets. The company also sells the Wagner, Ferodo and Abex brake friction product lines in the global automotive aftermarket. Until May 2014, the division was known as Vehicle Components; the renaming was described as a step in the Federal-Mogul’s “ongoing strategy to drive the global growth of its premium products and leading brands.”