Dana to Purchase Assets of Brazilian Driveline Company

Dana Inc. says it has agreed to purchase certain manufacturing and other assets of Brazil’s Sifco SA, which has operated under judicial restructuring since 2014. Terms of the deal, which is expected to close by year-end, weren’t disclosed.

Sifco supplies forged and machined suspension, transmission and engine components for commercial and passenger vehicles. The company was formed in 1958.

Dana says the acquisition will provide greater vertical integration to help reduce costs and improve systems integration and overall quality. Sifco has been a supplier to Dana for 40 years.

Following the purchase, Dana expects to use more Sifco components in its driveline systems. This will increase the locally produced content for its truck and carmaker customers in Brazil to help reduce import and other region-specific costs. Dana has operated in Brazil for nearly 70 years.