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      Press Release
      April 30, 2014

      Continental Acquires Remaining Interest in Emitec to Supplement Strong Position in Emissions Technologies

      • Automotive supplier to buy 50-percent share held by joint-venture partner GKN plc
      • Important strategic decision: Emitec acquisition will make Continental a supplier of complete systems in a key growth market – that of exhaust aftertreatment


      Regensburg, April 30, 2014. Continental strengthens its systems competencies in the field of drivetrain technologies. The international automotive supplier, tire manufacturer, and industry partner intends to purchase the outstanding shares in Emitec Gesellschaft für Emissionstechnologie mbH. Emitec, to date a 50-50 joint venture co-owned by Continental and GKN plc – will be acquired by Continental and integrated into its Powertrain Division. With the planned acquisition of Emitec, Continental will emerge as a supplier of exhaust aftertreatment systems. Completion of the acquisition is subject to merger control clearance.

      Based in Lohmar, near Bonn, Emitec is a leading supplier of emissions technologies and was founded in 1986. Its product portfolio includes metal catalytic converters, particle filter components, and dosing modules for selective catalytic reduction (SCR). Since getting started, the company has produced more than 170 million of these components. Emitec has a workforce of approximately 900 employees at locations in Europe, U.S., and Asia. SCR, which is set to become increasingly important in the future, reduces nitric oxide in emissions by injecting a urea/water solution into the exhaust system. Ever more stringent emissions limits in the years ahead will make it necessary that virtually all diesel vehicles be equipped with a SCR system.

      "The intended integration of Emitec into the Continental Corporation is a strategically significant step. We will now be able to supply those of our customers requiring all-in-one solutions in the key growth market of exhaust aftertreatment. Above and beyond this, the acquisition will enable us to realize synergies between the Powertrain Division and Emitec, touching on everything from development and production through to purchasing," points out José Avila, Member of the Continental Executive Board and President of the Powertrain Division.

      "Emitec has been a great investment for GKN. It is a good business that will now benefit from full connection with Continental’s emissions technologies. I would like to thank everyone in Emitec and offer them my best wishes as the business enters this new phase,” said Nigel Stein, chief executive of GKN plc.

      Continental has a broad product portfolio for exhaust aftertreatment involving various business areas. In the case of SCR solutions, for example, the different Business Units in the Powertrain Division develop and produce the injection system – including sensors, injectors, control devices and software – while the ContiTech Division contributes the heatable hose lines and Emitec the dosing module. The latter is a transfer unit connected to the urea tank via the flange. The underlying technology parallels that found in the gas and diesel transfer systems offered by the Powertrain Division's Fuel Supply Business Unit. The envisaged Emitec acquisition will thus yield synergy potential in conjunction with these components. And whereas Emitec shares responsibility for metal substrates for catalytic converters, metal diesel particulate filters, and SCR dosing modules, Continental Powertrain will be able due to its wide product portfolio to offer emissions reduction technologies as complete systems to the customers in the future – from configuring on through to its integration, use and calibration.

      One of the globally leading suppliers for metal catalytic converters and particle filter components

      Emitec develops and produces the SCR dosing module at its plant in Faulquemont, France, which went into operation in 2012. The company's other production locations are in Lohmar and Eisenach in Germany, Fountain Inn, South Carolina, in the U.S., and Pune in India. Other development and testing centers are located in Germany and Denmark. Emitec also has branch offices in Shanghai, Tokyo, Seoul and Rochester Hills, Michigan (near Detroit). Its customer roster includes all big-name car, truck and motorcycle manufacturers. In the off-road-sector, it supplies producers of tractors, agricultural implements and construction machines.

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