Nino Romano
| Photo Credit: Special Arrangement
Continental Automotive, which offers technologies and services for connected and autonomous mobility and automotive security to original equipment manufacturers across the globe including in India, on Tuesday said it would get its new name and brand identity on April 23, following its spin-off from Continental AG of Germany.
The company said, following the spin-off of the automotive business from Continental, the name of the future independent automotive company would be announced on April 23 at Auto Shanghai 2025, where it would also showcase its latest technologies that support autonomous driving and light projection and security solutions.
Continental Automotive, Chief Technology Officer, Nino Romano told The Hindu that, “Continental is spinning off its automotive business into a separate independently listed entity. An official announcement will come after the shareholder meeting on April 23 in Shanghai. By mid of this year, we will start functioning as an independent company and by end of this year we will also have an independent listing.”
On the rationale of the spin off, he said, it was really about adapting to a changing market. The automotive and tyre businesses were very different and it was important to give freedom to each division to respond quickly to market needs. “We’re just creating clearer structures. We’re not giving up on any capabilities or strategy.’‘
In 2023, Continental, that comprised three business, Continental Tires, ContiTech and Continental Automotive, reported sales of €41.4 billion and employed about 2,00,000 people across 56 countries with India having over 10,000 people across 12 locations including six plants and a tech centre in Bengaluru that supports Continental’s global R&D activities.
“With the spin-off of Continental Automotive, the group will be cut in the middle with half of sales and half of people coming to the new entity,’‘ Mr. Romano added.
According to him, once the spin off is completed, the automotive business won’t be part of Continental while Schaeffler Group, which currently holds 49% in Continental will continue to have a strong investor presence in the new company as well.
Elaborating further, Mr. Romano said, Continental, over the years, created three strong, independent sectors: Continental Tyres, ContiTech, Continental Automotive. ‘‘The spin-off is more of a structural change. Each division will now manage its own functions like treasury, compliance, and tax. We’re not sharing plants or engineering hubs—like the one in Bengaluru—with other divisions. So this spin-off is relatively easy. The automotive division is already quite self-sufficient,’‘ he added.
Published – April 15, 2025 09:03 pm IST
