(Alliance News) - TI Fluid Systems PLC on Tuesday said it will acquire Hungary-based Cascade Engineering Europe Kft for around EUR25.4 million.
The Oxfordshire-based maker of automotive fluid storage, carrying, delivery, and thermal management systems for light vehicles said the acquisition will be "immediately accretive" to its underlying earnings, as CEE is expected to generate revenue of around EUR35 million in 2023.
Through the purchase, the company will be in charge of CEE's 349 employees as well as a 6,500-metre squared manufacturing facility in Budapest.
CEE designs and manufactures thermal fluid connectors and other complex plastic injection moulded components for the automotive industry.
The company added that the acquisition will increase its share in the thermal connector market, while also enhancing its technology in the electric vehicles sector.
The acquisition is subject to regulatory approval, TI Fluid Systems said.
TI Fluid Systems Chief Executive Officer said: "Adding CEE's operations and expertise to our portfolio is an important strategic step for TIFS. This acquisition grows our market share in thermal fluid connectors for electric vehicles and aligns with our overarching electrification strategy. I would particularly like to extend a warm welcome to the dedicated staff at CEE who will join the company as it follows its growth strategy."
Shares in TI Fluid Systems were up 0.3% at 126.00 pence each in London on Tuesday morning.
By Sabrina Penty, Alliance News reporter
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TI Fluid Systems (TIFS)