The corporate has initiated a strategic assessment of the axle-assembly unit to “unlock its full potential,” which can result in modifications to its construction or bringing in new companions, a spokesperson for the corporate mentioned in an e-mail. As a part of the assessment, ZF is getting ready for a doable carveout of the enterprise, they mentioned.
Deliberations are ongoing and the German firm may additionally decide to maintain full management of the axle enterprise. A consultant for Deutsche Financial institution declined to remark.
ZF takes its title from its headquarters in Friedrichshafen, the southern German city on Lake Constance, and might hint its roots again to airship pioneer Ferdinand von Zeppelin. It’s underneath strain to adapt its enterprise for the age of electrical and self-driving automobiles, which can ultimately render conventional combustion engine automobiles and their components makers out of date.
No stranger to dealmaking, ZF turned one of many world’s largest auto suppliers after agreeing to purchase TRW Automotive for $12.9 billion in 2015. 5 years later, it accomplished its $7 billion acquisition of Wabco Holdings Inc. so as to add commercial-vehicle expertise.
ZF ranks No. three on the Automotive Information 2021 record of the highest 100 world suppliers with worldwide gross sales to automakers of $33.four billion in 2020.
