The spin-off of PHINIA Inc. from auto supplier BorgWarner in Auburn Hills that was announced last December is complete, with PHINIA now listed as an independent company on the New York Stock Exchange as of July 3. The new company also is based in Auburn Hills.
PHINIA’s president and CEO is Brady Ericson, who has more than 30 years of industry experience and brings in-depth knowledge of the global commercial vehicle, industrial, and automotive markets as well as an extensive engineering background.
Previously, he led three different business units of BorgWarner and was BorgWarner’s first chief strategy officer. He is joined by an executive team that includes Chris Gropp, vice president and chief financial officer. Gropp has spent more than 20 years with BorgWarner, and she most recently held the position of vice president of finance for fuel systems and aftermarket.
At the time of the December announcement, BorgWarner officials said that the spin-off of its fuel systems and aftermarket segments would optimize its combustion portfolio and help advance the company’s goal toward providing electrification systems to OEMs.
PHINIA’s mission is to deliver high-quality, innovative systems, and components for original equipment and aftermarket customers across commercial and light vehicles and industrial applications, while using fuel technology as a pathway to carbon neutrality.
“Today is a very exciting day as we begin this new chapter as an independent business,” says Ericson. “With our focused strategy, scale, talented workforce, and strong financial resources, this move gives us the freedom to grow our business and create value for our customers, employees, and shareholders. Our customers are looking for quality, efficiency, performance, and reliability, and PHINIA is pleased to be their global partner.”
Gropp says: “We believe that PHINIA’s strong margins, cash flow, and low leverage position the company to deliver solid total shareholder returns through profitable growth, competitive dividends and opportunistic share repurchases. We are committed to our strategic and financial priorities, which include disciplined growth and reinvestment in the business to maintain our product leadership position and to support our customers with components and systems.”
PHINIA’s primary focus will be on applications and markets that will benefit the most from the energy density and utility of a fuel — driving the efficiency and performance of today’s products, helping keep efficient vehicles in operation longer, and supporting the transition to carbon-neutral and carbon-free fuels of tomorrow.
“Our strategy centers around developing sustainable solutions for internal combustion engines and leveraging our technology for alternative fuels which we believe will rapidly become a key contributor on our journey to carbon neutrality. Our vision of a sustainable future includes a wide range of solutions including carbon-neutral and carbon-free fuels,” says Ericson.
