Delphi Acquired by BorgWarner
Harley-Davidson Tier 1 EFi vendor Delphi Technologies PLC has been gobbled up by BorgWarner Inc. as the automotive supply chain continues to scrabble for critical mass in the face of auto industry changes and consolidation.
Delphi has been Harley's go-to default electronic fuel injection component supplier since 2001 (for the 2002 model year) when it was added to Magneti Marelli as a Harley partner. Now, like so many vendors, its traditional markets and business model face the disruption of electrification and the whole of the OEM and aftermarket vendor communities are looking at a potentially uncertain future.
Powertrain products specialist BorgWarner will acquire Delphi Technologies in an all-stock transaction that values Delphi Technologies' enterprise value at approximately $3.3 billion.
In fiscal year 2019, BorgWarner and Delphi Technologies estimate that they generated $10.17 billion and $4.36 billion of net sales, respectively.
Headquartered in London (UK), Delphi operates technical centers, manufacturing sites and customer support service centers in 24 countries, employing more than 21,000 people around the world.
Delphi is still Tier 1 to Harley (so is Magneti Marelli), supplying ECMs and various other components. The rumor mill suggests that the new Street Fighter and Pan America will be using Marelli ECMs.
Following the closing of the transaction, the combined company will be led by Frédéric Lissalde and Kevin Nowlan, BorgWarner's CEO and CFO respectively, and will operate as BorgWarner. The combined company will be headquartered at Auburn Hills, Michigan.