BorgWarner Completes PHINIA Spin-Off
BorgWarner has completed the spin-off of its fuel systems and aftermarket segments into a separate, publicly-traded company named PHINIA, the company announced.
“A tremendous amount of work has gone into bringing us to where we are today,” said Frédéric Lissalde, president and chief executive officer, BorgWarner Inc.
Two years ago, BorgWarner announced Charging Forward, the company’s strategy to accelerate its transition to electrification. That strategy included the disposition of $3B to $4B in combustion-related revenue by 2025, the company said.
“This important step allows both BorgWarner and PHINIA to focus on and continue to pursue their respective strategies. We wish the PHINIA team the best as they begin their own journey as a new, independent company,” said Lissalde.
“Today is a very exciting day as we begin this new chapter as an independent business,” said Brady Ericson, president and chief executive officer of PHINIA. “With our focused strategy, scale, talented workforce, and strong financial resources, this move gives us the freedom to grow our business and create value for our customers, employees, and shareholders. Our customers are looking for quality, efficiency, performance, and reliability, and PHINIA is pleased to be their global partner.”
Ericson has over 30 years of industry experience in the commercial vehicle, industrial and automotive markets and an engineering background, the company said. He previously led three different business units of BorgWarner and was BorgWarner’s first chief strategy officer. He is joined by an executive team including Chris Gropp, vice president and chief financial officer. Gropp has spent over 20 years with BorgWarner, and she most recently held the position of vice president of finance for Fuel Systems and Aftermarket.
