NGK Spark Plugs to acquire UCI Holdings

May 8, 2015
UCI Holdings Limited (“UCI”), the parent company of UCI International, Inc., has entered into an agreement to sell its Wells vehicle electronics business to NGK Spark Plug Co, Ltd. for approximately $257 million.

UCI Holdings Limited (“UCI”), the parent company of UCI International, Inc., announced today that it has entered into an agreement to sell its Wells vehicle electronics business to NGK Spark Plug Co, Ltd. for approximately $257 million. Wells is a leading supplier to the U.S. market and offers components such as switches, ignition coils and pressure sensors mainly to the automotive aftermarket.

The transaction is expected to close early in the third quarter of 2015, pending final regulatory approvals and the satisfaction of other customary closing conditions.

NGK said it has the top global share in spark plugs in the automotive and other markets. NGK said it strives to keep its automotive components business as its core business. In order to further strengthen the automotive components business, NGK said it has been pursuing various opportunities, including expanding both the product line-up and improving its penetration in various distribution channels.

NGK said Wells is an ideal candidate for its expansion efforts because it is a well-known automotive parts manufacturer with more than 100 years of history in the United States. Wells has exposure to the growing segment of vehicle electronics with broad product lines, whose main products include switches, ignition coils and pressure sensors. Wells has built a leading position in the US automotive repair market and is working to increase its sales outside of the U.S.

NGK said that the combination of the two companies will create significant synergies, including offering Wells products, in addition to its own products, to the global repair market through its strong international sales network. This combination will further strengthen NGK’s automotive components business, and also will keep challenging the company to create new businesses, the company said.

Subscribe to Aftermarket Business World and receive articles like this every month….absolutely free. Click here.

Sponsored Recommendations

ZEUS+: The Cutting-Edge Diagnostic Solution for Smart, Fast, and Efficient Auto Repairs

The new ZEUS+ simplifies your diagnostic process and guides you through the right repair, avoiding unnecessary steps along the way. It gives you the software coverage, processing...

Diagnostic Pre- and Post-scan Reports are Solid Gold for Profitability

The following article highlights the significance of pre-scans and post-scans, particularly with Snap-on scan tools, showcasing their efficiency in diagnosing issues and preventing...

Unlock Precision and Certainty: TRITON-D10 Webinar Training for Advanced Vehicle Diagnostics

The TRITON-D10 lets you dig deep into the systems of a vehicle and evaluate performance with comparative data, systematically eliminating the unnecessary to provide you with only...

APOLLO-D9: Trustworthy Diagnostics for Precision Repairs

The APOLLO-D9 provides the diagnostic information and resources you need to get the job done. No more hunting through forums or endlessly searching to find the right answers. ...

Voice Your Opinion!

To join the conversation, and become an exclusive member of Vehicle Service Pros, create an account today!