Brembo, an Italian automotive parts manufacturer, has signed an agreement to acquire Öhlins Racing, a high-performance suspension technology company, for $405m (€370.59m).
The acquisition is a strategic move by Brembo to enhance its product portfolio in the premium original equipment, motorsport, and aftermarket segments.
Öhlins Racing, founded in 1976 and headquartered in Upplands Väsby, Sweden, is recognised for its precision-engineered suspension products.
The company employs about 500 people and operates two production facilities in Sweden and Thailand, along with two R&D centres and four distribution and testing branches in the US, Germany, Thailand, and Sweden.
Öhlins Racing's product range includes shock absorbers, front forks, steering dampers, software, algorithms, and accessories.
The company also has a presence in major motorsport championships, supplying teams in MotoGP, Formula 1, World Superbike, NASCAR, and others.
For the fiscal year ending in 2024, Öhlins Racing is expected to generate a turnover of around $144m, with an adjusted EBITDA margin of 21% to 22%.
The company is dedicated to advancing mechatronic suspension technology for both road and track applications, aligning with Brembo's vision to be a solution provider for future mobility.
Brembo executive chairman Matteo Tiraboschi said: “Öhlins is a strong fit for Brembo. It is a world-renowned brand, with a solid business and an unrivaled reputation, both on the racetrack and the road. We welcome Öhlins to our Group as a great opportunity to expand our offerings for the automotive market.
“With this addition, we take another step forward in our strategy to provide integrated intelligent solutions to our customers, leveraging synergies across key technologies in the vehicle’s corner.”
This deal represents the largest acquisition in Brembo's history.
Previously, Brembo expanded its two-wheeler business, which currently accounts for roughly 13% of its total revenues, by acquiring SBS Friction in Denmark and J.Juan in Spain, and by announcing a new production site in Thailand for motorcycle braking systems earlier this year.
The acquisition of Öhlins Racing is subject to customary regulatory approvals and is anticipated to be finalised in early 2025.
