FTE Automotive, a German automotive brake and clutch maker is expected to be sold to a Chinese company. Bain Capital bought FTE in 2013 for EUR400 million (USD436 million) and aims to raise EUR650–750 million from the anticipated sale, reports Reuters. Further details have yet to be disclosed.
Significance: FTE Automotive already has a presence in China. In 2013 the company opened a plant in Taicang in Jiangsu province. The plant produces actuation systems for manual and dual clutch transmissions for original equipment manufacturers in the Asia region. Additionally, FTE Automotive Group has a joint venture in Hangzhou, called APG-FTE Automotive Company. FTE Automotive also acquired a re-manufacturing unit from Scandinavian Brake Systems (SBS) for the production of brake callipers. In 2014, Andreas Thumm, CEO of FTE Automotive said of the acquisition, "The acquisition of the brake calliper business from SBS is a further step in FTE's strategic growth path. The successful integration of the remanufacturing of brake callipers supports the strategic development of our aftermarket business significantly."
