BorgWarner Announces Name, CEO of Spin-Off Company
BorgWarner has announced Brady Ericson will serve as the new president and chief executive officer, and Chris Gropp will serve as executive vice president and chief financial officer of the separate, publicly traded company that will result from completion of the previously announced proposed spin-off of BorgWarner’s Fuel Systems and Aftermarket segments, the company revealed. BorgWarner also announced that the intended company name is PHINIA.
“Brady and Chris are well-rounded and respected leaders at BorgWarner and in the industry. They each possess a breadth of knowledge and experience that will be required to guide PHINIA as an independent company and pursue its continued success,” said Frédéric B. Lissalde, president and chief executive officer, BorgWarner. “Today’s announcement is also an exciting next step that personifies and gives an identity to what we had referred to as ‘NewCo’, now PHINIA.”
Ericson began his career at BorgWarner in 2000 and has served as vice president of BorgWarner and president and general manager of BorgWarner Fuel Systems and Aftermarket since March 2022. He has been an officer of BorgWarner since 2011 while serving as president and general manager of three different business units and as BorgWarner’s chief strategy officer.
“I am honored and humbled to be selected to launch and lead PHINIA. We will draw upon BorgWarner’s rich 130-year history – maintaining the strong culture of product leadership, integrity and operational excellence,” says Ericson. “There is a tremendous opportunity and a bright future ahead for our talented employees, with exciting things on the horizon.”
Gropp began her career at BorgWarner in 2001, serving most recently as vice president of finance for Fuel Systems and Aftermarket since October 2020. Over her 22 years at BorgWarner, Gropp has held positions of increasing responsibility in several BorgWarner businesses domestically and internationally, from plant controller and commercial controller to finance director and vice president of finance for three of BorgWarner’s businesses.
“We’ve delivered significant operational and segment margin improvement over the last couple of years in Fuel Systems and Aftermarket,” says Gropp. “I’m excited for the opportunity to lead PHINIA, as part of Brady’s leadership team, and seek to continue the positive momentum and financial discipline, with the objective of setting us up for success as an independent entity.”
PHINIA is expected to offer fuel systems, starters, alternators and aftermarket distribution for commercial vehicle, light vehicle, and aftermarket end markets, the company said. The proposed spin-off is expected to be completed in late 2023.
