ZF to sell ADAS business to Harman

The ZF Group is selling its Advanced Driver Assistance Systems (ADAS) business to Harman International Inc., a leading US-based in-cabin electronics firm.

Under the agreement, ZF will transfer its ADAS business, including compute solutions, smart cameras, radar technology, and ADAS software functions, to Harman.

The areas of electronics for chassis and passive safety technology will remain within the ZF Group. ZF will also continue its activities in the field of driver assistance and autonomous driving in the commercial vehicle sector.

The enterprise value agreed upon is €1.5 billion.

Harman says the acquisition will give it a “highly sought-after combination of safety and vehicle interior technologies for automotive manufacturers worldwide”.

Under the agreement, 3,750 ZF employees are expected to transfer to Harman upon completion of the transaction. The transaction is expected to close in the second half of 2026, subject to the necessary regulatory approvals.

Mathias Miedreich, CEO of ZF said: “In Harman, we have found the ideal partner to fully develop the growth and innovation potential of our driver assistance business for passenger cars and also to open up the best possible prospects for our employees. At the same time, the transaction will help to significantly reduce ZF’s financial liabilities.

“The sale enables us to focus our resources on those core ZF technologies such as chassis, powertrain, commercial vehicles, and industrial applications in which we are global leaders.“

“Our acquisition of ZF’s ADAS business is a strategic step forward for HARMAN to deliver on its promise to enable a more connected future of smarter and safer vehicles that are responsive to driver and passenger needs,” added Christian Sobottka, chief executive officer and president, Automotive Division, Harman.