Delphi to Sell Heating/Cooling Businesses to Mahle

Delphi Automotive plc has reached a deal to sell its heating and cooling business to Germany's Mahle GmbH for more than $700 million, sources tell The Wall Street Journal.

The newspaper says U.K.-based Delphi has reached a separate agreement to sell a China venture, Shanghai Delphi Automotive Air-Condition System Co., to Mahle.

The two deals cover a business that operates 13 plants in eight countries and generates some $1.6 billion in annual sales, according to the Journal.

Delphi was created in 1999 when General Motors Co. spun off its partsmaking business. It went through bankruptcy restructuring in 2009. Lately the company has been divesting operations to focus on high-margin technologies in such areas as vehicle electronics, self-driving systems and fuel cells.