Tenneco’s aftermarket and ride performance business will spin off later this year under a new name.
DRiV Incorporated will launch in the second half of 2019, following the decision by Tenneco Inc. to separate into two independent companies – one for its aftermarket and ride performance products, and one for its powertrain systems technologies.
DRiV, which will be headquartered in the greater Chicago area, will serve as one of the largest global multi-line, multi-brand aftermarket suppliers, as well as one of the largest global original equipment (OE) ride performance and braking suppliers to aftermarket, light vehicle, and commercial vehicle customers.
“It is a landmark day, now that we are able to announce the future company’s name and identity,” said Brian Kesseler, co-CEO of Tenneco and the future chairman and CEO, DRiV.
He said the $6 billion start-up will be built on the combined strengths of Tenneco, Federal-Mogul and Swedish suspension manufacturer Öhlins, and will be “laser-focused” on innovation, performance, brand development and customer service. It would have 2017 pro-forma revenues of $6.4 billion, with 56% of those revenues from aftermarket and 44% from original equipment customers.
“Our global scale, our stable of well-respected and enduring aftermarket brands and our longtime partnerships with the world’s leading original equipment manufacturers give us a significant competitive advantage,” he said. “We are strategically positioned to capitalize on secular trends such as the expansion of vehicles in operation globally, as well as growth in intelligent suspension, new mobility models and the evolution of autonomous driving.”
The DRiV name is emblematic of what the new company expects to be – a global leader in the aftermarket and original equipment businesses, driving advancements that help people get the most out of every vehicle, every ride, every race, and every journey. The black, red and silver logo is connected to a rich heritage of performance. The overall design is confident with a circular shape that evokes a tachometer, representing speed, strength, and pushing boundaries. The uniquely styled letters that form the company name are clean, dynamic, and forward-leaning. In the logo design, the DRiV name incorporates a special character for the “i” that has multiple meanings. It can be read as a letter “i” which also represents integrity, innovation and insight. And it can also be read as the number “1,” which implies “our one team.”
“The DRiV name and logo is distinctive, standing out from the competition in both the original equipment and aftermarket spaces,” said Scott Usitalo, the company’s chief marketing officer. “It personifies the idea that there’s a driving force behind anything in motion. Our mission is to be a driving force that moves people – offering them enhanced ride experiences through differentiated brands, products and technologies. DRiV is an active name that inspires energy and movement, and signals what we intend to provide to our customers – superior driving advancements.”
Aftermarket Business – Motorparts
DRiV’s aftermarket business, which will be known as “Motorparts,” will develop, manufacture and distribute a broad portfolio of products in the global vehicle aftermarket.
Through the acquisition of Federal-Mogul in 2018, the company has built an industry-leading brand portfolio that positions it to become one of the largest global suppliers of replacement parts to the global aftermarket. Its stable of brands includes Monroe, Champion, Öhlins, MOOG, Walker, Fel-Pro, Wagner, Ferodo, Rancho, Thrush, National, Sealed Power, and Axios.
Original Equipment Business – Ride Performance
The original equipment business, known as “Ride Performance,” is one of the world’s largest ride performance businesses, developing, manufacturing and supplying leading global original equipment manufacturers with shock absorbers, struts, NVH performance materials and brake friction.
Separate from DRiV Incorporated, the company’s powertrain systems technology business will retain the Tenneco name and will continue to be headquartered in Lake Forest, Ill.