TMD Friction and HELLA have announced plans to establish a new joint venture. Under the brand name HELLA Pagid the two partners intend to distribute brake components for the worldwide automotive aftermarket. The jointly-owned enterprise, in which each partner will have a 50 percent share, is to be established as an independent sales company with its headquarter in Essen, Germany. Subject to the required approval by the relevant competition authorities the joint venture will start operations on January 1st, 2013.

The goal of the partnership is to become a leader in the supply of brake components for all on road vehicles on a global basis, building on the strength of the respective areas of expertise of the two organisations.

"For both companies the new HELLA Pagid joint venture is an outstanding opportunity to expand their global market position", commented Carsten Albrecht, Member of the HELLA Management Board. He added, "The Pagid brand, with a range of products completing the full braking system is a natural fit within the HELLA product portfolio, perfectly meeting the high standards of our customers and our own product philosophy."

Since 2006 TMD Friction and HELLA have been cooperating in the wholesale business in Scandinavia and the Baltics. In 2010 the two companies extended their cooperation, mutually reinforcing their respective positions on the Chinese aftermarket.

Josef Besting, Senior Vice President Aftermarket at TMD Friction said, "As long-standing partners we have already achieved a great deal and have excellent experiences together. This joint venture is the next logical step in our cooperation."