Federal-Mogul (Goetze) stock jumps 10% as Tenneco Inc. to acquire the group globally

The acquisition aims to bring together two complementary businesses - Tenneco Ride Performance and Federal-Mogul Motorparts, and the powertrain technology company will include Tenneco Clean Air and Federal-Mogul Powertrain. It will also improve the geographical positioning of the new entity in markets such as Americas, EMEA (Europe, Middle East and Africa) region, Asia Pacific region.
The acquisition is expected to close in H2CY18. As per the press release from FMGIL, the acquisition is expected to be value accretive and generate synergy opportunities of at least $200mn in annual earnings and $250mn in working capital.
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