BERLIN (Reuters) – German auto parts supplier Continental is considering the sale of the car division bundled within ContiTech, manager magazin reported on Monday, citing company sources.
Supervisory board chairman Wolfgang Reitzle and the executive board around chief executive Nikolai Setzer are considering a reorganization of the corporation, the business publication added, citing the sources.
As part of the reorganization, ContiTech’s car division, which specializes in belts and sealing systems, will be put up for sale first, said the report.
The highly profitable tyre business and non-automotive part of ContiTech will be retained as the future core, it said.
Continental would not comment on the report.
The company has previously said that ContiTech would be strategically realigned from May 2023 with the aim of enhancing its impact and efficiency, and improving customer and market proximity.
Philip Nelles, who is in charge of the ContiTech division, told Reuters in February that the company’s activities in the car sector would be bundled into their own unit with a stronger focus on electromobility.
(Reporting by Victoria Waldersee, Writing by Miranda Murray, Editing by Rachel More)
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