Affinia Group Inc. has announced the sale of its subsidiary, Beck/Arnley Worldparts Corp., to Heritage Equity Group, Inc.
Heritage is a privately held company funded entirely by private investors, and in part by Beck/Arnley management.
"We are extremely proud to see the great potential that Beck/Arnley will have under Heritage," said Terry McCormack, president and CEO of Affinia Group. "After considerable deliberation, we determined that both Affinia and Beck/Arnley would benefit from this move. Affinia’s customers, investors and associates will be better served through focus on our primary lines, brakes, chassis and filtration, which we manufacture and market."
McCormack went on to stress that the nature of Beck/Arnley’s business made it different from the rest of Affinia. "With the Wix, Raybestos and Spicer brands, we are manufacturers and marketers of vertical product lines. Beck/Arnley buys and sells a horizontal package of import parts that cuts across many product categories. It’s a fundamental difference, and it creates different needs that are better served separately."
"We are simply delighted to be in control of our own destiny," said Max Dull, formerly VP/GM of the subsidiary who will now be president and CEO of Beck/Arnley. "This truly will allow Beck/Arnley to be Beck/Arnley."
Dull echoed McCormack’s comments, saying that being affiliated with any primarily vertically oriented company created issues for both. "Trying to juggle the needs and requirements of two very large manufacturing divisions with the needs of Beck/Arnley and its market segment approach was a challenge," said Dull. "Operating separately will allow each company to focus on its strengths. The customers of both businesses will benefit."
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