Danish deal gives Torotrak new focus
LANCASHIRE transmission technology specialist Torotrak is planning to exploit new markets after buying a 15% stake in a Danish engineering business.
As part of the £500,000 deal the two companies will also launch a UK-based joint venture called Rotrak.
The new business will exploit opportunities associated with the downsizing of engines, a growing trend in the automotive sector.
Leyland-based Torotrak said the venture will enable it to access a new market – cost-effective variable speed superchargers which improve engine fuel efficiency and reduce Co2 emissions.
Chief executive Dick Elsy said: “This new venture, combining two complementary technologies, delivers a compelling new solution to address the pressing challenges faced in the automotive industry to improve engine fuel efficiency and reduce CO2 emissions.
“Our joint investment with Rotrex underlines a new approach by Torotrak to bringing new technology developments to market more quickly and more cost-effectively. By expanding the application of our technology outside of main drive transmissions, we are opening up a highly valuable new market area where demand for effective, innovative solutions is immediate and growing.”
Tototrak was advised by Manchester law firm Hammonds. Jane Haxby, who heads the office, said: “The Rotrak joint venture is a strong strategic move for Torotrak in their quest to develop new commercial relationships with industry partners.”
