Forvia Sells Interiors Business to Apollo for €1.82B, Sharpening Focus on Tech
Event summary
- Forvia agreed to sell its Interiors Business Group to Apollo Funds for €1.82B enterprise value.
- The deal represents 18% of Forvia’s 2025 revenue (€4.8B) and includes 59 production sites and 8 R&D centers.
- Forvia expects net debt reduction of at least €1B post-transaction, enhancing financial flexibility.
- Closing is targeted by year-end, pending regulatory approvals and employee consultations.
The big picture
Forvia’s sale of its Interiors Business Group aligns with its IGNITE strategy, announced in February 2026, to streamline operations and reduce debt. The €1.82B deal reflects broader industry trends of automotive suppliers divesting non-core assets to focus on high-margin, technology-driven segments. Apollo’s acquisition, valued at 3.1x 2025 EBITDA, underscores private equity’s appetite for automotive components amid shifting consumer preferences toward premium cabin experiences.
What we're watching
- Execution Risk
- Whether Forvia can complete the transaction by year-end amid regulatory and employee consultations.
- Strategic Focus
- How Forvia’s shift toward high-value technology-driven activities will impact its competitive positioning.
- Apollo’s Strategy
- The pace at which Apollo will transform the Interiors Business Group to capitalize on evolving automotive cabin trends.
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