FIT Hon Teng Limited (“FIT” or “Company”) today announced it entered into SPA to acquire PRETTL SWH group, horizontally expanding its core capabilities in EV components and extending its mobility solutions. Following the acquisition, PRETTL SWH group will be wholly owned by FIT. PRETTL SWH group’s competitive strategy is similar to that of FIT. PRETTL SWH group’s product portfolio focuses on niche segments as it offers high-margin and high-precision manufacturing products in the industry. Furthermore, due to its solid automotive component design capabilities, PRETTL SWH group works closely with automotive customers and have established long-term client relationships in the industry.
With decades of experience and a leading position in the automotive industry, PRETTL SWH group assists its customers in developing and manufacturing best-in-class, high-end automotive sensor harnesses and connectivity and electrification solutions. Its customer base spans traditional automotive OEMs, new mobility OEMs, and global large-scale Tier 1 and Tier 2 automotive system suppliers. PRETTL SWH group has grown significantly over the past few years, supported by a strong balance sheet. Upon the completion of the acquisition, PRETTL SWH group is expected to contribute meaningfully to FIT’s annual revenue and net income over the short and medium term.
PRETTL SWH group’s three core business segments – Sense, Connect and Electrify perfectly match FIT’s current EV strategic development directions focusing on Power Connection, Data Connection and Human to Machine connectivity.
The transaction will create synergy by combining PRETTL SWH group’s high-quality module and component products with FIT’s current system. Taken together, FIT and PRETTL SWH group will work hand in hand to offer comprehensive EV solutions. Also, PRETTL SWH group’s global network of manufacturing, sales and R&D will enable FIT to expand its key EV component strength horizontally.
FIT is on track to build out the higher-margin product portfolio by continuously executing its 3+3 strategy (EVs, Audio, and 5GAIoT). This acquisition aligns with FIT’s 3+3 strategy and will create new growth drivers in EV mobility.
SOURCE: Foxconn
