Volkswagen Group’s Audi business group has agreed to sell a controlling interest in Italian design and engineering house Italdesign Giugiaro to California-based technology company UST.
Lamborghini, Audi’s performance-car unit, will retain a “significant” shareholding in the business, according to a statement.
Audi technical development board of management member Geoffrey Bouquot said: “UST is the ideal partner to strengthen Italdesign's solid foundation while opening new market opportunities.
“Together, we aim to ensure that Italdesign remains an innovator in automotive design and engineering.”
Italdesign will continue to count Audi as a long-term strategic partner and major customer.
The transaction is subject to regulatory clearances. No purchase price or valuation details have been released.
Volkswagen had been weighing a sale of Italdesign since at least May as part of a broader restructuring of its European operations.
Under the agreement, UST plans to apply its capabilities in digital engineering, vehicle electronics and AI to Italdesign’s activities.
Italdesign will contribute its experience in vehicle and industrial design, engineering, prototyping, limitedrun manufacturing and automotive electronics.
Italdesign Giugiaro CEO Antonio Casu said: “This partnership will bring benefits to all parties involved. It will allow Italdesign to accelerate the expansion of its service portfolio in new markets and achieve deeper penetration in various international markets.
“Italdesign is aiming to become the first full integrator of hardware and software worldwide, both in the automotive sector and across other high technology industrial sectors.”
The companies said the combination is intended to offer a range of services that spans early concept development and design, hardware and software engineering, and production systems, with the aim of supporting the development of digitally intensive vehicle platforms.
UST added that its global presence in more than 30 countries is expected to support Italdesign’s international expansion.
UST CEO Krishna Sudheendra said: “Our role is to support Italdesign’s vision, honour its heritage, and bring new capabilities that help the team continue to grow.
“We look forward to working side by side with Italdesign and our partners across the Audi Group to help build what comes next.”
Italdesign has been part of the Volkswagen Group since 2010.
