AL-KO Damping Technology business unit sold to KW automotive

The Damping Technology business unit manufactures shock absorbers for heavy commercial vehicles and the passenger car aftermarket with around 250 employees at two sites in Spain and China. The financial terms of the transaction were not disclosed.

“AL-KO Damping Technology and KW have a longstanding business relationship. This sale now offers the possibility of a technological leap from which our AL-KO product segments will also benefit. We are delighted that the employees will find a strong new home in KW. We plan to continue to work closely with the buyer in the long term,” said Harald Hiller, President and CEO of AL-KO Vehicle Technology Group.

 For over 25 years, KW has specialized in the development, manufacture and distribution of customized premium suspension solutions for both the road and racing. From springs and racing suspensions to “inox-line” coilovers in three damping variants, the company has a wide range to offer its global customers. In recent years, KW has developed over 16 different damping technologies in order to live up to its company motto of “the perfect suspension for every demand”. The acquisition of AL-KO Damping Technology is the third major transaction this year for KW, following its acquisition of off-road racing damper specialist Reiger Suspension in January and, most recently, of wheel manufacturer BBS.

By acquiring AL-KO’s damping technology business, KW is accelerating the expansion of its core business. In doing so, it benefits both from the modern AL-KO production sites in Europe and China as well as from the Damping Technology business unit’s industrialization expertise. “With AL-KO, we have gained an outstanding expert in the field of damping technology,” says Klaus Wohlfarth, managing partner of KW automotive GmbH. “AL-KO Damping Technology's many years of experience and manufacturing expertise enriches our core business, which we intend to expand even further. The two production plants allow us to simplify and strengthen our supply chains and increase our own value creation.”Aiman Kaamel, Senior Vice President and head of the AL-KO Damping Technology business unit, says, “Our entry into the KW automotive group creates clear synergies and interesting development prospects. Our industrialization expertise coupled with KW automotive's high level of technological skill will help us tap into new market segments while delivering innovative products to our existing customers, which continue to include the AL-KO Vehicle Technology Group.”