MILAN — High-performance braking systems producer Brembo S.p.A. has acquired a minority share interest in fellow Italian company Pirelli & C. S.p.A.
Bergamo, Italy-based Brembo said it has acquired a 2.34% stake in Pirelli, which is controlled by China's ChemChina and Silk Road Fund, with roughly 45.5% held jointly, and Italy's Camfin, with about 10%.
Brembo did not elaborate on its reasons for the investment in Pirelli, other than to say that Pirelli's "history, brand, leading position and innovation-oriented approach makes it, just like Brembo, an excellent and particularly significant company in its industry."
Brembo did not say how much it paid for the shares nor over how long of a period it bought them. It said it decided "autonomously" to buy the shares as part of a "long-term non-speculative approach."
Pirelli has not commented on Brembo's disclosure. Pirelli Chairman Marco Tronchetti Provera told Reuters News Brembo's move is not part of any merger strategy between the companies.
With annual sales of $3 million and nearly 11,000 employees in 14 countries on three continents, Brembo considers itself a world leader in disc brake technology for vehicles. The company supplies high-performance brake systems for key makers of cars, commercial vehicles and motorbikes worldwide, as well as clutches and other components for racing.
In North America, Brembo is represented by Brembo North America Inc. in Plymouth, Mich.