American Axle & Manufacturing has a takeover agreement to acquire Tekfor Group for €125 million, or about $136 million. Like AAM, Tekfor is a manufacturer of metal forgings as well as fasteners for driveline, powertrain, and e-mobility systems, with five locations in Europe, two in Brazil, and individual locations in the U.S., U.K., and Mexico.
"This acquisition leverages the core strengths of AAM with significant synergy potential, diversifies our geographic and customer sales mix, and increases our electrification product portfolio,” according to American Axle chairman and CEO David C. Dauch. “In addition, this purchase fits nicely with our recent tactical M&A approach. We are excited to expand our metal forming technologies to serve a broad range of global customers."
The purchase will be completed during 2Q 2022, subject to regulatory approval and other closing requirements, according to AAM.
Detroit-based American Axle designs and manufactures driveline and drivetrain systems for light trucks, SUVs, passenger cars and crossover vehicles, as well as commercial vehicles. It also produces driveline/drivetrain components and modules, chassis systems, and other formed products. It has more than 60 plants in North and South America, Europe, and Asia, providing engineering and manufacturing services to automotive OEMs and Tier suppliers.
