According to media reports, on April 2nd, the German automotive parts supplier Webasto announced that it has sold a majority stake in its struggling electric vehicle charging business, Webasto Charging Solutions, in a bid to seek financial turnaround.
Webasto has sold Webasto Charging Solutions to the U.S.-based private equity firm Transom Capital Group, headquartered in Los Angeles, which has indicated plans to rename the company as Ampure. As per the terms of the deal announced in February this year, Webasto will retain a minority stake in the company.
Russ Roenick, Managing Partner of Transom Capital Group, stated in a release, "Electric vehicle charging is at the forefront of the global electrification transformation, and Ampure presents a rare opportunity for us to invest in a company with a robust, safe, and reliable charging product portfolio."
Webasto's financial performance in 2023 fell short of expectations, with an EBIT (earnings before interest and taxes) of 20 million euros (approximately $21.5 million) and sales revenue of around 4.6 billion euros (approximately $4.95 billion). In March of this year, Webasto announced its focus on rooftop and battery system businesses to improve its financial position. The CEO of the company, Holger Engelmann, added that "layoffs in the double-digit percentage range may be inevitable."
The electric vehicle charging business has proven to be a challenge for Webasto. Reports indicate that the division incurred an operating loss of approximately 82 million euros and generated sales revenue of around 92 million euros in 2022. Over the past two years, Webasto has been seeking investors for this business segment.
