BorgWarner appoints new CEO, names fuel system spin-off
By Mike Brezonick15 February 2023
BorgWarner, a global supplier of components and systems to the commercial vehicle and automotive industries, announced that named Brady Ericson will serve as president and chief executive officer, and Chris Gropp will serve as executive vice president and chief financial officer of the separate, publicly traded company that will result from completion of the previously announced proposed spin-off of BorgWarner’s Fuel Systems and Aftermarket segments.
BorgWarner also announced that the intended company name is PHINIA Inc. The “PHI” in the name is a nod toward the former Delphi technology is part of the company’s fuel systems heritage.
Ericson began his career at BorgWarner in 2000 and has served as vice president of BorgWarner and president and general manager of BorgWarner Fuel Systems and Aftermarket since March 2022. He has been an officer of BorgWarner since 2011 while serving as president and general manager of three different business units and as BorgWarner’s chief strategy officer.
Earlier in his career, Ericson held various sales and engineering positions with Honeywell (formerly AlliedSignal), Remy International, and Ford Motor Co.
Gropp began her career at BorgWarner in 2001, serving most recently as vice president of Finance for Fuel Systems and Aftermarket since October 2020. Over her 22 years at BorgWarner, Gropp has held positions of increasing responsibility in several BorgWarner businesses domestically and internationally.
“Brady and Chris are well-rounded and respected leaders at BorgWarner and in the industry,” said Frédéric B. Lissalde, BorgWarner president and CEO. “They each possess a breadth of knowledge and experience that will be required to guide PHINIA as an independent company and pursue its continued success.
“Today’s announcement is also an exciting next step that personifies and gives an identity to what we had referred to as ‘NewCo’, now PHINIA.”
BorgWarner is moving to divest its combustion engine related businesses to focus on mobile electrification technologies. The company said PHINIA is expected to be a product leader in fuel systems, starters, alternators and aftermarket distribution with balanced and synergistic exposure among commercial vehicle, light vehicle and aftermarket end markets. The proposed spin-off is expected to be completed in late 2023, subject to satisfaction of customary conditions.