ZF Hints at More Acquisitions Beyond TRW

ZF Friedrichshafen AG, which expects to complete its purchase of TRW Automotive Holdings Corp. for $11.7 billion (€9.1 billion) early next year, says it would consider unrelated smaller deals to bolster its industrial and trucking operations. But CEO Stefan Sommer did not elaborate.

The two companies met reporters in Detroit to explain how their merger is timely. They note that blending ZF's drivetrain expertise and TRW's electronics capabilities will enable them to deliver the increasingly complex systems carmakers need to meet future fuel economy and emission goals.

The companies also reiterate that together they can better meet the needs of the quickly expanding market for connected and self-driving vehicle technologies.

TRW CEO John Plant points out that such systems are sophisticated and costly to develop. "It's a select few what will be able to afford it in the future," he says. "It's not your middle-sized company that's going to be able to step up to the plate."