FAIRLAWN, Ohio — ContiTech has entered into an agreement to sell Veyance Technologies’ North American air springs business to Charlotte-based EnPro Industries Inc. The air springs business will be managed as part of EnPro’s STEMCO division. The divestiture had been required by anti-trust authorities in the U.S., Mexico and Brazil as part of ContiTech’s acquisition of Veyance Technologies in January 2015. The transaction includes approximately 500 employees in San Luis Potosi, Mexico, and about 30 commercial and R&D employees in Fairlawn, Ohio, in the U.S., as well as in Canada.
“With EnPro’s STEMCO business we have found a good home for Veyance’s air springs team in North America. We secured approximately 530 jobs in Mexico, the U.S. and Canada,” said Hans-Jurgen Duensing, member of the Continental Executive Board and head of the ContiTech division. Terms of the transaction were not disclosed. The transaction is subject to regulatory approval and expected to close in July.
Continental notes that Veyance Technologies is the most important acquisition in ContiTech’s history, and has strengthened its global industrial business and reduced exposure to automotive OE markets, a strategic goal of ContiTech. Following the takeover of Veyance, the proportion of the company’s industrial business increased from 42 to 54 percent.