Mahle acquires Siemens' air intake module, air filtration business division

09 January 2007

The two companies have signed a corresponding binding agreement to this effect and have agreed not to disclose the purchase price. The acquisition is still subject to the approval of the anti-trust authorities.

The €4.3-billion Mahle Group is one of the leading global manufacturers of components and systems for combustion engine and peripherals - from piston systems, cylinder components, valve train systems to air management systems and liquid management systems. It owns 80 production plants and seven R&D centersand is among the top 30 largest automotive suppliers globally.

Siemens VDO Automotive, a group of Siemens AG, is one of the world's leading suppliers of electronics and mechatronics for the automotive industry. Siemens VDO generated sales of over €10 billion in 2006 business year (30 Septemebr, 2006).

With this acquisition, Mahle is expanding its market presence particularly in North America and Asia and complementing its technology portfolio in this product division.

According to the terms of the acquisition, Mahle will acquire about 1,000 Siemens VDO employees. .Siemens VDO develops and produces air management systems at locations, including Canada, Mexico, the United Kingdom as well as China and achieves an annual sales volume of approximately €300 million in this business segment.

Mahle already commands a strong market position in Europe and Asia, and is among the leading automotive suppliers for air intake modules and air filtration products. The air management systems product line is one of five product lines of the Mahle Group, which will contribute approximately 15 per cent of the company''s sales in the current business year.