As the automotive supplier sector sees increasing restructuring, Delphi has announced it is positioning for growth with new acquisitions and investments in key automotive technology and product growth areas.
Delphi is to acquire HellermannTyton for GBP1.07bn, expanding its Electrical/Electronic Architecture global business. HellermanTyton is described as a manufacturer of “high-performance and innovative cable management solutions”. The transaction has been recommended by the board of HellermannTyton and is expected to close late in the fourth quarter of 2015, subject to regulatory consents and approvals and approval by HellermannTyton’s shareholders. Upon completion, HellermannTyton will become part of Delphi’s Electrical/Electronic Architecture segment.
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Delphi says the acquisition expands Delphi’s product portfolio within the connected vehicle solutions market and will help “capitalise on the connected car megatrend”. It also further strengthens Delphi’s leading position in the electrical architecture market, while providing a platform to grow in HellermannTyton’s adjacent industrial end markets, including aerospace, defence, alternative energy and mass transit.
“With consumers now demanding more connectivity in their vehicles, electrical architecture is the enabler to that added vehicle content,” said Kevin Clark, Delphi president and chief executive officer. “HellermannTyton positions Delphi to provide customers with an even broader portfolio of highly engineered and customised connection systems and cable management solutions. By leveraging the combined capabilities of both companies, we will be able to capitalise on additional growth opportunities and create significant value for our customers and shareholders.”
Delphi also said that has acquired software company, Ottomatika, to enhance its active safety and automated driving capabilities.
Delphi has also made a strategic investment in 3D LiDAR sensing company, Quanergy.
It said those two strategic moves strengthen Delphi’s advanced driver assistance system (ADAS) applications and could help speed the adoption of automated vehicles. The ability to detect objects and execute digital mapping, surface modelling and distant imaging is enabled by the use of Light Detection and Ranging (LiDAR) scanners.
By combining Ottomatika’s automated driving software with Delphi’s active safety systems, the two companies have developed a technology platform for automated driving that enables a vehicle to make human-like decisions, Delphi says.
Delphi also made a minority investment in Tula Technology, which develops software that provides cost-efficient, fuel economy gains in cylinder deactivation technology.
See also: US: Delphi poised for ‘major acquisition’ this year
