Arlington acquires Wahler from BorgWarner

ARLINGTON Industries Group Ltd has acquired the Wahler thermostat business from BorgWarner, a move which complements their acquisition of Magal Engineering in 2017.

The Wahler acquisition will provide new technology and manufacturing synergies to a wider base of OEM and Tier One customers as well as providing its Arlington Automotive division with an established aftermarket business.

Following the Wahler acquisition from BorgWarner, Arlington Industries will establish two new divisions under the Automotive side of the business. Arlington Thermal Management will incorporate the Wahler, Magal and Dauphinoise Thomson brands. From factories in Germany, Brazil, China, USA, UK and France, it will provide thermal management technology in combustion, hybrid and electric vehicles.

Alongside this, Arlington Engineered Systems will provide electrical, fluid & air, mechanical and aftermarket module assemblies, and also incorporate Magal Cables and the current Arlington companies; Remploy and DPE. The factories are located in Turkey, Slovakia, UK (Coventry, Birmingham, Derby, Newton Aycliffe, Worcester) as well as a joint venture in India.

Two CEO’s have been appointed to lead each division. Paddy Lange, who joins Arlington from BorgWarner will lead the Thermal Management division. Peter Coates, who is the current Managing Director of Arlington Automotive Slovakia and UK plants will lead the Engineered Systems Division.

As part of the restructuring of the business, Arlington is also pleased to announce the launch of their new division, Thermagal – a new brand in industrial and household thermal management, building on their 50 years of experience in automotive thermal management, and operating from Dauphinouse.

Mark Franckel, Arlington Industries Group CEO, said: “We are very pleased with our latest acquisition. The Wahler brand stands for premium quality and this is a significant move from Arlington Industries. Our new structure will deliver great opportunities for our customers and employees worldwide.”

Arlington Industries Group major shareholder, Cartesian Capital Group have supported global growth of the company and continue to identify and advise on complementary acquisitions for the Group. Beth Michelson, Senior Managing Director commented “The acquisition of Wahler from Borg Warner, a U.S. Fortune 500 Company, demonstrates the strength of Arlington and our commitment to providing an unrivalled supply chain for our Automotive OEM customers throughout the world. This acquisition significantly expands Arlington’s global footprint, product offering and capabilities. We are all very excited for the future.”

Refinancing for the acquisition of the Wahler brand was completed with Apollo Global Management LLP, and undertaken due to the Arlington business doubling in size, as it strengthens its integrated supply chain offer and infrastructure worldwide.