Aptiv completes acquisition of Wind River from TPG

Aptiv has completed the acquisition of Wind River. The company said, "Wind River software enables the secure development, deployment, operations and servicing of mission-critical intelligent systems." The company’s technology is in over two billion edge devices across more than 1,700 customers in industries, including aerospace and defense, telecommunications, industrial, medical and automotive. Aptiv said, "By integrating the Wind River Studio cloud-native software platform into Aptiv’s industry-leading Smart Vehicle Architecture, Aptiv will enable customers to unlock the full potential of the software-defined vehicle throughout its complete lifecycle." The initial release of the integrated end-to-end solution will be showcased in January at CES 2023. The transaction is valued at $3.5B, instead of the initial purchase price of $4.3B agreed to in January 2022. Aptiv and the seller agreed to the amended purchase price, in part, as a result of certain changes in Wind River’s current operating structure required to bring the regulatory approval process to a satisfactory conclusion. These changes will not impact the strategic direction of Wind River nor expectations for its value creation, but will require certain one-time costs and recurring operating expenses. The transaction is expected to be accretive to adjusted earnings per share in 2023. The company will provide further details regarding the transaction on the fourth quarter earnings call on February 2, 2023.