Continental is reportedly considering the sale of its recently established ContiTech auto division, specialising in belts and sealing systems, as part of a broader company-wide reorganisation.
According to Reuters, the company has undertaken a series of moves to enhance profitability due to a significant drop in market capitalisation from EUR50bn to EUR13bn since 2018.
Go deeper with GlobalData
It announced a restructuring plan earlier this year which would involve consolidating ContiTech into three regional divisions (Europe, the Americas and Asia Pacific) as well as creating a separate unit focused on electromobility.
Manager magazin said the tyre business and non-automotive section of ContiTech would remain core components.
The magazine also quoted an unnamed manager who warned of the potential for a rift in the workforce if the car business was continually funded by the tyres sector.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
