BorgWarner announced an agreement to sell its tire pressure monitoring business to Huf Electronics GmbH. The sale includes a manufacturing facility in Bretten, Germany, which employs about 230 people. The tire pressure monitoring business was acquired in 2005 as a small piece of the BERU diesel cold start and ignition systems business. BorgWarner will incur a book loss on the sale of about $10-15 million.
BorgWarner says that while the tire pressure monitoring product technology has been developed continuously and meets the upcoming strict European standards, it departs from the company’s focus on powertrain technologies. BorgWarner says this transaction is limited to the tire pressure monitoring business only and does not affect its other products or technologies.