BorgWarner acquiring EGR component manufacturer Wahler

News Jason Cannon January 8, 2014

BorgWarner says it is has signed an agreement to acquire exhaust gas recirculation (EGR) valves, EGR tubes and thermostats manufacturer Wahler.

Wahler supplies customers such as Daimler, Volkswagen, BMW, GM and John Deere. Wahler’s annual sales for 2013 are expected to be approximately $350 million.

“From both a technology and geography standpoint, this acquisition is an excellent strategic fit,” said James Verrier, President and CEO of BorgWarner. “The acquisition strengthens BorgWarner’s strategic position as a producer of complete EGR systems and creates additional market opportunities in both passenger and commercial vehicle applications.”

Wahler’s EGR valve technology and strong European customer base combined with BorgWarner’s existing EGR valve and EGR cooler businesses is expected to strengthen BorgWarner’s participation in the rapid adoption of EGR technology.

Wahler’s industry-leading thermostat technology, designed to optimize engine temperatures for better fuel economy and reduced emissions, enhances BorgWarner’s capabilities in thermal management, according to Verrier.