Based in Cairo Montenotte, in the Italian province of Savona, Automotive Products Italia employs approximately 500 people and since its establishment in 1984 has grown into a business with annual sales (2006) of 79 million euros.

This acquisition is not the beginning of relations between Automotive Products Italia and Continental Automotive Systems; the two parties have been involved in a technical and marketing cooperative agreement for the past decade. Automotive Products Italia has grown to become Europe’s second largest producer of drum brakes; approximately 5.8 million drum and park brakes were manufactured at the company’s 17,000-square-metre facility in Savona last year, and counted amongst the firm’s OE customers were major manufacturers such as Fiat, Ford, Renault/Nissan, Toyota, Land Rover, Mazda and General Motors. Upon regulatory approval the company will be integrated into the Hydraulic Brake Systems business unit of Continental Automotive Systems.

“With the acquisition of Automotive Products Italia, Continental Automotive Systems will benefit from the company’s perfect market penetration in established markets and strengthen its worldwide position in drum brakes,” said Karl-Thomas Neumann, president of Continental Automotive Systems and member of the Continental AG executive board. “In addition, it will help us to grow in new, emerging markets, which require drum brakes for local applications. This will be particularly important to us in China and India.”