BorgWarner to buy EV charging business of China-based Hubei SSE

BorgWarner Inc. BWA, +2.06% announced Tuesday and equity transfer agreement to buy the electric vehicle (EV) charging business of China-based Hubei Surpass Sun Electric (SSE) in a deal valued at up to RMB410 million ($58.5 million). The deal includes RMB267 million to be delivered around the closing, which is expected to occur in the first quarter of 2023, and up to RMB143 million in the form of contingent payments over two years after closing. “This transaction makes good business sense as we continue to bolster our fast-charging capabilities globally,” said Frédéric Lissalde, chief executive of the vehicle parts maker. “SSE will bring enhanced offerings while supporting Charging Forward, our strategy to accelerate our growth in electrification.” Borg Warner’s stock, which was still inactive in premarket trading, has rallied 12.1% over the past three months while the S&P 500 SPX, +0.69% has gained 6.1%.