TI Fluid Systems has agreed to acquire Cascade Engineering Europe, a Hungarian-based designer and maker of thermal fluid connectors and other complex plastic injection moulded components for the automotive industry.

TI said the business had a strong reputation for its technical expertise and product quality with in house capability from design and development to tooling, prototyping and serial manufacturing.

TIFS will acquire CEE for US$27.7m (EUR25.4m) in cash or about 6x estimated 2023 EBITDA excluding synergies. CEE is expected to generate revenue of EUR35m in the year ending 31 December 2023 and the acquisition will be immediately accretive to the group’s underlying earnings. The acquisition is subject to customary closing conditions and regulatory approval.

Hans Dieltjens, president and CEO of TI Fluid Systems, said, “This acquisition grows our market share in thermal fluid connectors for electric vehicles and aligns with our overarching electrification strategy.”