January 24, 2019
FRANKFURT (Reuters) – German auto supplier Robert Bosch [ROBG.UL] said on Thursday it had bought out partner Daimler’s stake in EM-Motive GmbH, a joint venture set up to make motors for electric and hybrid cars.
The factory in Hildesheim, Germany will be expanded to meet growing demand for electric and hybrid vehicles as regulators crack down on emissions from combustion-engined vehicles.
Bosch anticipates that about 20 percent of all cars will be either hybrid or electric vehicles by 2020.
EM-Motive, which currently supplies Daimler, Porsche, Fiat, Volvo, Peugeot and start-up carmaker Streetscooter with electric motors, wants to keep targeting new customers, Bosch said.
Bosch declined to comment on the financial terms of the transaction but said that it had always had the option of buying out its joint venture partner in 2019.
Daimler said EM-Motive will remain a supplier and that it continues to source electric motors from a number of suppliers worldwide.
Daimler workers have campaigned to bring development and production of electric motors in-house, ending the German carmaker’s reliance on external suppliers.
(Reporting by Edward Taylor; Editing by Douglas Busvine and Elaine Hardcastle)