Leveraging its strong engineering capabilities, Borgwarner will further enhance its power electronics products portfolio with the addition of Delphi Technologies’ high-voltage products for mild, plug-in and full hybrid electric vehicles.

The transaction will also expand Borgwarner’s reach into new customers and geographies. Delphi Technologies’ global customer base and significant presence in Asia Pacific and China will complement Borgwarner’s global reach.

Upon completion of the transaction, which is expected to occur in the first quarter of 2020, Delphi Technologies will become a wholly-owned subsidiary of Borgwarner and will operate within Borgwarner’s Power Electronics business.

“This transaction represents a significant step in Borgwarner’s transformation into a pure-play power electronics company and accelerates our ability to deliver leading power electronics solutions to our global customers,” said Frédéric Lissalde, President and CEO of Borgwarner.

“The combination of Borgwarner’s and Delphi Technologies’ strong product portfolios, engineering capabilities and global reach will enable us to drive growth and create shareholder value. We look forward to welcoming Delphi Technologies’ employees to Borgwarner.”

“We are excited to join Borgwarner and become a part of its Power Electronics business,” said Richard F. Dauch, CEO of Delphi Technologies. “This transaction will provide Delphi Technologies’ employees with expanded opportunities to grow and develop their careers as part of a larger, diversified global company. Together, we will be better positioned to meet the challenges of an ever-changing industry and create value for our customers, employees, suppliers and shareholders.”