Automotive technology supplier Forvia has agreed to sell its Interiors Business Group to funds managed by Apollo Global Management in a carve-out transaction with an enterprise value of €1.82bn ($2.13bn).
The Interiors division provides vehicle cabin components including instrument panels, door panels and centre consoles to a wide base of automotive original equipment manufacturers.
Under the terms of the agreement, Apollo Funds will support the business in its development and transformation as a standalone company.
Forvia said the disposal is expected to reduce its net debt by at least €1bn after adjustments once the deal closes.
It said all net proceeds from the transaction will be used to pay down financial debt.
The business being divested operates 59 production sites and eight research and development centres across 19 countries, employing more than 31,000 people.
Forvia CEO Martin Fischer said: “The Transaction project announced today reflects the strength and leadership of FORVIA Interiors, as well as the expertise and commitment of its teams. It highlights the Business Group’s solid industrial base, market positioning and value creation potential. I would like to thank all Interiors employees for their contribution.”
In the 2025 financial year, the unit generated revenue of €4.81bn, down 5.7% from a year earlier.
Adjusted EBITDA for the same period came to €582m.
The agreed price values the business at 3.1 times EBITDA, rising to 4.8 times EBITDA when excluding R&D capitalisation and leases.
Forvia said the sale forms part of its IGNITE strategy, through which it aims to sharpen its focus on higher value-added and technology-driven activities while strengthening its balance sheet.
The transaction remains subject to regulatory approvals and consultations with employee representative bodies.
Completion is anticipated by the end of 2026.
Apollo private equity partner Michael Reiss added: “As an independent company with dedicated leadership and resources, Forvia’s Interiors Business will be well positioned to capitalise on these trends and deliver even greater value to its OEM partners worldwide.”
