Schaeffler AG has successfully completed the merger with Vitesco Technologies Group AG that was announced almost a year ago. From now on, the Schaeffler Group will operate under the uniform corporate brand “Schaeffler”.
Klaus Rosenfeld, CEO of Schaeffler AG, said: “With the completion of the merger with Vitesco today, Schaeffler is entering a new chapter in its corporate history. Despite the challenging environment, the complex transaction was successfully completed according to plan in less than a year. This proves that the two companies are not just a technological but also a cultural match. We look forward to our continued cooperation. Together, we will create a leading Motion Technology Company.”
Georg F. W. Schaeffler, family shareholder and Chairman of the Supervisory Board of Schaeffler AG said: “Schaeffler and Vitesco are stronger together. The merger lays the foundation for Schaeffler AG to continue its profitable growth trajectory in the future. As in the past, the Schaeffler family will continue to closely support the Schaeffler Group as a long-term anchor shareholder. It is a great pleasure for me – also on behalf of my mother Maria-Elisabeth Schaeffler-Thumann – to warmly welcome the highly competent employees of Vitesco to the Schaeffler Group."
On a pro-forma basis for 2023, the combined company will have consolidated annual sales of around 25 billion euros, will employ around 120,000 people at over 250 locations and will have more than 100 production facilities worldwide.
In the new setup going forward, the Schaeffler Group will divide its business activities into four focused divisions with leading positions in each of their respective markets: E-Mobility, Powertrain & Chassis, Vehicle Lifetime Solutions and Bearings & Industrial Solutions. In addition, the Schaeffler Group divides its business into four regions – Europe, Americas, Greater China and Asia/Pacific – which will continue to be managed as before.
Schaeffler expects that the merger with Vitesco will lead to revenue and cost synergies with an envisaged EBIT impact of 600 million euros annually. The synergies will be implemented gradually. The full synergy potential is expected to be reached for the first time in 2029.
Besides realizing revenue and cost synergies, the integration process includes combining processes and IT applications, establishing a new sales and customer support model for key customers for whom products and services are developed and delivered by several divisions, and all activities to integrate, streamline and consolidate existing legal structures in the countries where Schaeffler and Vitesco previously operated with separate legal entities. In addition to Europe, this includes countries such as China, Mexico, Korea and India.
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