Etteplan strengthens its position in Germany by acquiring Novacon Powertrain, an engineering company focused on E-mobility and powertrain development
ETTEPLAN OYJ, Press release, January 16, 2025 at 9.00 a.m. (EET)
Etteplan strengthens its position in Germany by acquiring Novacon Powertrain, an engineering company focused on E-mobility and powertrain development
Technology service company Etteplan strengthens its position in Central Europe by acquiring all shares in the German product engineering services company Novacon Powertrain GmbH, which focuses on electrification in the automotive industry and the development of engine technology. The acquisition brings Etteplan a new product development unit with strong expertise in the electrification of motoring and rail traffic as well as in the development of advanced powertrains.
Novacon Powertrain designs electric mobility solutions and intelligent powertrains for demanding applications. In addition, Novacon Powertrain offers comprehensive solutions for managing product data and product life cycles as well as approval and certification processes. The company has several significant, long-term customers in the automotive and rail transport industries.
Novacon Powertrain has grown strongly by providing advanced technology to meet the changing needs of leading car manufacturers in a rapidly evolving industry. The turnover of the company, which employs about 180 professionals, was approximately EUR 18 million in 2023. In the acquisition, the founder and CEO of Novacon Powertrain, Philipp Welz, sells his ownership of the company to Etteplan and continues to manage the acquired business. The purchase price to be paid in cash is not disclosed.
"The operating environment of the automotive industry has changed rapidly in recent years and intensified global competition has proven to be a significant threat to the German automotive industry. To ensure competitiveness, the industry must succeed in electrification and the development of engine technology, as well as in making operations more efficient with the help of AI and data. Novacon Powertrain produces services for exactly these areas, which creates excellent growth opportunities for us in the future. The company's customer base represents German premium car brands, whose position is stable even in difficult market conditions," says Etteplan President and CEO Juha Näkki.
"We have reached a size where further know-how and stronger support is required to enable further growth. As an international organization of almost 4,000 experts, Etteplan is a competent and strong partner for our customers and employees, which will help drive our business to the next level. Etteplan's strong technical expertise and Nordic corporate culture create an excellent framework for continued growth," says Novacon Powertrain's CEO and founder Philipp Welz.
Expertise related to electrification and data management is in particular demand across multiple Etteplan customer segments. This makes it possible to utilize Novacon's expertise as part of Etteplan's service solutions to several of Etteplan’s international clients.
"Novacon Powertrain brings an important reinforcement to our global competence portfolio", says Riku Riikonen, Senior Vice President, Etteplan's Engineering Solutions service area. "We warmly welcome Novacon´s experts to our growing professional community, and we look forward to leveraging their expertise in our market areas outside of Germany over time. For current Novacon employees, joining an international company brings new opportunities for improving their skills and advancing their careers."
The deal was signed on January 14, 2025, and the company's figures will become part of Etteplan's income statement and balance sheet from January 1, 2025.
More information:
Juha Näkki, President and CEO, Etteplan, tel. + 358 10 307 2077
Outi Torniainen, SVP, Marketing and Communications, Etteplan, outi.torniainen@etteplan.com, tel. +358 10 307 3302
Philipp Welz, Founder and CEO, Novacon Powertrain, welz@novacon-powertrain.com, tel. +49 160 789 3207
Etteplan in brief
Etteplan is a growing technology service company with the purpose of bringing people and technologies together to change things for the better. Together with our customers, we are building a world where every system, process, and product can be made smarter, more efficient, and more sustainable. Our customers include world’s leading companies in the manufacturing industry.
In 2023, we had a turnover of EUR 360.0 million and around 4,000 professionals in Finland, Sweden, the Netherlands, Germany, Poland, Denmark and China. Etteplan's shares are listed on Nasdaq Helsinki Ltd under the ETTE ticker. www.etteplan.com