GKN Driveline unveils joint venture business
GKN Driveline has formed a joint venture with EVO Electric, which provides electric drive products for the automotive sector. The £5m business venture expands Redditch-based GKN's weight in the electric motor sector.
The new business, GKN EVO eDrive Systems, will manufacture and sell axial flux electric motors and drive systems for use in hybrid and all-electric vehicles.
As part of the deal, GKN will also acquire 25.1 per cent of EVO Electric.
GKN Driveline, which supplies automotive driveline systems and solutions, also has operations in Birmingham and Walsall.
Engineering giant GKN will provide financing in a combination of debt and equity.
GKN said its total investment value was £5m consideration in cash.
Nigel Stein, CEO of GKN Driveline, said: "This strategic addition will enhance GKN Driveline's ability to meet its customers' needs in drivetrain electrification. It is aligned with our strategy of supporting vehicle manufacturers as they search for fuel savings and reduced CO2 emissions through hybrid and electric drive vehicles."
