Brembo acquires 50 percent of brake company
September 26, 2008
Filed under Features
Brembo, a leader in high-performance brake systems, signed an agreement with Daimler for acquiring 50 percent of Brembo Ceramic Brake Systems, according to a Brembo press release.
The price is equal to about $13.2 million. Brembo Ceramic Brake Systems is expected to close this year’s sales of about $39.4 million, a net profit around break even after R&D costs equal to 10 percent of sales and with a net debt of about $8.8 million. The company also approved new investments for more than $14.6 million in order to double its production capacity by the first half of 2009.
Alberto Bombassei, chairman of Brembo, said, “Carbon ceramic discs technology is now ready to be applied on a wider scale, after the intense development performed with Daimler. The product is part of Brembo’s core-business and Daimler will remain an important customer, for this as well as other products, after contributing with its know-how to the development of this very innovative material.”
R&D investments will continue with a view to launch a new product next year, with features suitable for wider scale applications.