HDT Automotive to Acquire Majority of the Business of Veritas AG

Acquisition significantly increases HDT’s scale & scope, adds engineering resources, builds its presence in Europe, and expands relationships with German OEMs.

LIVONIA, MI, UNITED STATES, May 21, 2024 /EINPresswire.com/ -- ● HDT designs and manufactures advanced thermal management, HVAC and EV components and systems in key auto production regions around the world

● Veritas, with its focus on fluid, thermal and sealing management systems, is an ideal complement to HDT's offering

● The acquisition will significantly increase the scale and scope of HDT’s global operations, materials capabilities, and customer base to support current growth in existing ICE, Hybrid and EV businesses

HDT Automotive Solutions LLC (“HDT”) has agreed to acquire the majority of the business of Veritas AG, an automotive supplier headquartered in Gelnhausen, Germany, with expertise in elastomers, plastics and metal for fluid, HVAC, thermal and sealing management systems. A binding purchase agreement was signed on May 16th, and the transaction is expected to close in June.

While terms of the transaction are not disclosed, the acquisition includes the majority of Veritas AG’s business, including its headquarters, technical center and manufacturing operations in Gelnhausen, Germany, and operations in Austria, Bosnia-Herzegovina, Hungary and Mexico. The acquisition will significantly increase the scale and scope of HDT, further diversify its customer base, and add capabilities in rubber hose and plastic tubing to HDT’s already extensive capabilities in steel and aluminum.

This broad offering will allow HDT to provide customers with the best solution for every application, including the need for lightweight materials for alternate propulsion solutions such as EVs. The acquisition adds manufacturing capacity in low-cost regions in Hungary, Bosnia-Herzegovina and Mexico. The acquisition will also add world-class engineering resources to further develop thermodynamic management systems and support material science development. Finally, the combined entity will benefit from HDT's recent successes at penetrating the market for HVAC systems and EV battery cooling systems.

"We are very pleased to have entered into a definitive agreement to purchase the majority of the assets and subsidiaries of Veritas AG,” said Patrick Paige, CEO of HDT Automotive. “Veritas is one of the leading providers of thermal management systems in Europe and has been a critical partner to its OEM customers for decades. We have worked intimately with its management, customers, employees and works council to be able to sign these definitive transaction agreements. We believe that this transaction offers the best outcome possible for the successful continuation of the majority of Veritas AG. The combined company is well-positioned to establish itself as the leading strategic supplier to its customers globally. We are excited at the future prospects of HDT Veritas and all its stakeholders."

The assets of Veritas included in the transaction employ around 2,000 people at five locations in Europe and North America. Its customers include the top three German OEMs and many other top suppliers.

The acquisition significantly increases HDT's presence in Europe and deepens its relationships with the German OEMs. Since 2021, HDT has booked record levels of new business for both ICE and EV applications, with new products launching in exciting new vehicles with innovative HVAC and Battery Cooling products, using aluminum, rubber and steel.

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About HDT Automotive Solutions

HDT Automotive Solutions is a leading global supplier of automotive tubular components used in fluid transfer and thermal management systems, with a diverse array of products, new materials capabilities, a worldwide manufacturing footprint, and a well-balanced customer base. Headquartered in Michigan, HDT currently has ten manufacturing facilities across the United States, Canada, Mexico, Italy, United Kingdom, Poland, Hungary and China and serves the North American, European and Asian automotive markets. For more information, visit https://hdt-auto.com/.

Lisa A. Lark
Lisa Lark Communications
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