The investment will accelerate Horse Powertrain's development of next-generation ICE and hybrid powertrains.Aramco, through its subsidiary Aramco Asia Singapore, has finalized a 10% stake acquisition in Horse Powertrain, a leading powertrain solutions provider. This investment, valued at €7.4 billion, aims to advance lower-emission mobility solutions. The deal, completed on an undisclosed date after securing regulatory approvals, follows an agreement signed on June 28, 2024.
Renault Group and Geely each retain 45% ownership of Horse Powertrain. Aramco's involvement seeks to leverage its research and development expertise and explore innovative approaches to reduce transport emissions, including alternative fuels and efficient engine technologies. The collaboration also involves Valvoline Global Operations, an Aramco affiliate, focusing on advancements in internal combustion engine (ICE) technology, fuels, and lubricants.
This strategic investment reinforces Aramco's commitment to addressing transportation emissions through a multi-faceted approach. This acknowledges the global diversity in vehicle fleets, infrastructure, and individual driver needs. Aramco is exploring various solutions, from lower-carbon synthetic fuels to enhanced internal combustion engine efficiency.
Advancing hybrid and ICE technologies
Ahmad O. Al Khowaiter, Aramco Executive Vice President of Technology & Innovation, said, “Addressing transport emissions requires a wide range of approaches that consider the diverse nature of the global vehicle fleet, broad disparities in transport infrastructures, and the specific needs of motorists in different countries. At
Aramco, we are pursuing a number of potential innovative solutions, from lower-carbon synthetic fuels to more efficient internal combustion engines, as we look for opportunities to make a difference."
"Our investment in Horse Powertrain builds on our considerable R&D in this field. In joining forces with two of the world’s leading carmakers we aim to leverage our collective knowhow to take lower-emission mobility solutions forward,” he added.
Matias Giannini, Chief Executive Officer of Horse Powertrain, said, “We are delighted that Aramco has closed its investment in Horse Powertrain. Aramco’s expertise in alternative and synthetic fuels makes Aramco the ideal partner for us to deliver low-emission powertrain solutions."
"By strengthening our technology leadership with this partnership, Horse Powertrain will only become more valuable as a partner to automotive brands looking to benefit from our expertise and global production footprint,” Giannini added.
Jamal Muashsher, Chief Executive Officer of Valvoline Global Operations, said, “As a technical partner and supplier to Horse Powertrain, we look forward to applying Valvoline Global’s 150-plus years of automotive expertise and tradition of innovation to advance future-ready solutions in internal combustion engine technology,
fuels, and lubricants. Our newest joint effort with Horse Powertrain and Aramco builds on Valvoline Global’s strong history in original equipment manufacturer partnerships. Through collaboration, we are helping to shape the next generation of mobility.”
The investment will accelerate Horse Powertrain's development of next-generation ICE and hybrid powertrains. This includes complementary technologies such as alternative fuel and hydrogen solutions. The collaboration between Aramco, Valvoline Global Operations, and Horse Powertrain will focus on innovation in ICE technology, fuels, and lubricants.
Horse Powertrain's technological leadership, global manufacturing presence, and economies of scale are expected to strengthen its position as a partner for automotive and transportation groups worldwide. The company's goal is to be a leading provider of hybrid and ICE powertrain solutions that contribute to reducing global vehicle emissions.
The Board of Directors of Horse Powertrain now consists of seven members. Geely has appointed Daniel Donghui Li as Chairman of the Board, along with Jerry Gan and Andy An. Renault Group's representatives are François Provost, Thierry Charvet, and Denis Le Vot. Ali A. Al Meshari represents Aramco on the board.
