BSR
BSR
  • Home
  • Distressed Businesses
    • All Distressed Businessess
    • Administrations
    • Liquidations
    • Winding Up
    • Insolvency Advice  New
  • Buy a Business
    • All Businesses for Sale
    • Find a Business for Sale
    • Raising Business Finance
    • Buyer Acquisition Service   New
    • Escrow Service   New
  • Sell a Business
    • Sell Your Business
    • Seller Accounts
    • Need Help Selling?
    • Help With Finance New
    • Business Valuation
    • Business Wanted Adverts
  • Insights & News
    • View All News
    • View All Insights
  • Off-market
    • Source deals
  • Log In
  • Join Now
Join now
11111111

Home / News / Electric car parts maker sold in £150m merger deal

Electric car parts maker sold in £150m merger deal

Tue, 18 Jul 2017 | MERGER

Electric car parts maker sold in £150m merger deal

A Gateshead-based company that manufactures parts for electric vehicles is set to be sold to a US automotive firm in a merger deal worth around £150 million.

The North East firm, called Sevcon, has entered into a merger agreement with Michigan’s BorgWarner Inc that would see the British company acquired for $22 (£17) per share.

The deal places Sevcon’s value at around $200 million (£154 million), outstripping its market value by 61 per cent and reflecting the company’s recent contract wins, which will see it making parts for a British supercar company and several overseas suppliers.

Increasing global demand for electric and other low-carbon vehicles has seen Sevcon’s order book swell over the past three years to now be worth £320 million.

Sevcon’s president and CEO, Matt Boyle, told employees that the acquisition could signal a period of substantial growth at the company. The company has recently moved to Gateshead’s Team Valley business park and begun to recruit 200 new employees to add to its existing workforce of 80, though this headcount is expected to rise following the deal’s completion.

Boyle added that the Sevcon board had unanimously approved the proposed merger and, pending approval from shareholders, that the deal would close within the next two months.

He said: “I am enormously proud of what we have achieved so far. To carry that work forward we need to become larger quickly, as required by our potential customers. We need to take on the substantially greater projects which a merger with BorgWarner will allow us to consider.

“The combination of Sevcon and BorgWarner skills is what the market for electrification is demanding.”

It is unclear whether the Gateshead firm would continue under its own brand or be subsumed into the BorgWarner name, though its senior team – including Boyle – will remain.

Subscribe to Business Sale Report here


Share this article



Latest Businesses for Sale

Business Specialising in Delivering IT, Telecoms & Cyber Security Services
UK Wide

This established UK business specialises in delivering IT, Telecoms, Cyber Security Service for sale is a specialist ISP (Internet Service Provider), providing a complete portfolio of technology services to clients in multi-occupancy commercial prope...

Asking Price: £15,000,000
Turnover: £5,300,000

LEASEHOLD


Private Focused Domiciliary Care Provider
East of England, UK

Established by the current owners over 25 Years ago this high-quality domiciliary care provider has an exceptional reputation in their local area. The business provides a first class, professional, reliable and personal home care service to its servi...

Asking Price: Offers Invited
Turnover: £628,255

LEASEHOLD


Takeaway & Fast Food Business
Wales, UK

This is a superb takeaway business opportunity, enjoying high weekly sales and delivering very strong profits. Located within a long established, busy shopping centre/trading estate, alongside other major brand outlets and enjoying year round trading...

Asking Price: £360,000
Turnover: £840,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
08
 
Feb
 

PE-backed European group pounces for UK snack brand | BUSINESS SALE

UK premium snack manufacturer Burts Snacks has been acquired...

 
08
 
Feb
 

Offers of over £5m sought for Cornwall holiday park | COMMERCIAL PROPERTY

A luxury holiday park in Cornwall has been put up for sale, ...

 
07
 
Feb
 

Marine engineering firm to target M&A after revenue grows 21.5 per cent | BUSINESS NEWS

Marine engineering and warehousing business Shepherd Offshor...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources

Become a Member

News Categories

  • - Business Sale
  • - Division Sale
  • - Administration
  • - MBO/MBI
  • - Merger
  • - Commercial Property

View all news

logo
Our Services Distressed Businesses
  • Businesses for Sale
  • Distressed Companies
  • List a Business
  • Help with Finance
  • Buyer Acquisition Service
  • Small Businesses for Sale
Company Buy a Business
  • About BSR
  • Pricing
  • Insights
  • News
  • FAQs
  • Reviews
Get In Touch
020 8875 0200
[email protected]
167 Oakhill Road, London, SW15 2QW
Working hours: Mon-Fri, 9am - 5:30pm
About BSR
Business Sale Report is the UK's leading
independent business for sale & distressed business listing service.
Established in 1995, BSR offers an up-to-the-minute, comprehensive overview of businesses for sale, latest distressed business listings and daily acquisition news.
Subscribe

Subscribe to our newsletter to receive news about the latest businesses for sale.

  • Terms
  • Privacy
  • linkedin
  • facebook
  • twitter
© 1995-2023. Business Sale Report Ltd. All rights reserved. www.business-sale.com.