BorgWarner Inc, the U.S based auto parts maker is set to expand in the growing market of hybrid and electric vehicles by buying London-based Delphi Technologies.
Agreement was reached between the two companies on 28th of January, 2020.
Both companies confirmed that the deal is expected to be closed in the second half of 2020.
BorgWarner Inc made an announcement that there is a repurchase program of up to $1 billion.
Delphi shareholders will receive 0.44534 shares of BorgWarner Inc for each share help which translate to $17.39 per share.
Delphi has a long time debt of $1.47 billion as of 30th of September 2019 and the equity value of the deal is $1.5 billion .
BorgWarner Inc makes important parts of an auto-vehicle such as emission systems, automatic transmission and turbochargers while Delphi manufactures electronic controls that manage various powertrain components and other auto parts.