Berlin: German electronic car parts maker Bosch said on Monday it had bought the share of ZF Friedrichshafen in their co-venture, which could pave the way for ZF to buy a US rival.
ZF Friedrichshafen, Germany`s third biggest auto parts maker, has sold its 50-percent stake in ZFLS, a steering systems producer, to its partner in the venture, Bosch, for an undisclosed sum, both companies said.
ZF, based on the shores of Lake Constance in southern Germany, announced in July that it was in talks with US firm TRW Automotive.
Their tie-up would create a new giant with turnover of around 30 billion euros ($39 billion), or nearly the same in the car parts sector as each of the market leaders, Germany`s Continental and Bosch.
Media reports and analysts said the sale of the ZFLS stake was a condition for the purchase of TRW, which could be announced as early as this week.
Bosch chief Volkmar Denner told a teleconference that discussions on changing the ownership of ZFLS had been ongoing for several months.
He said Bosch would make ZLFS, which employs some 13,000 people and last year posted sales of around four billion euros, a separate division.
