PHINIA, new spin-off from Borg Warner, launches
A new company has been spun off from BorgWarner that will focus on providing combustion engine components, as well as on the transition to carbon-neutral and carbon-free fuels.
PHINIA, which includes the brand portfolio of Delphi, Delco Remy and Hartridge, will focus on systems, components for OE and aftermarket customers.
Commenting on the birth of the new company, which offically started on 3 July and began trading on the New York Stock Exchange today (Wednesday 5 July), Brady Ericson, President and Chief Executive Officer of PHINIA said: “Today is a very exciting day as we begin this new chapter as an independent business,” said “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.”
Brady has in the past led three business units within BorgWarner and was BorgWarner’s first Chief Strategy Officer. Alongside him is PHINIA Vice President and Chief Financial Officer Chris Gropp, who added: “We believe that PHINIA’s strong margins, cash flow and low leverage position the company to deliver solid total shareholder returns through profitable growth, competitive dividends and opportunistic share repurchases. We are committed to our strategic and financial priorities, which include disciplined growth and reinvestment in the business to maintain our product leadership position and to support our customers with components and systems.”
Brady Ericson concluded: “Our strategy centers around developing sustainable solutions for internal combustion engines and leveraging our technology for alternative fuels which we believe will rapidly become a key contributor on our journey to carbon neutrality. Our vision of a sustainable future includes a wide range of solutions including carbon-neutral and carbon-free fuels.”