London, United Kingdom, Dhahran, Saudi Arabia, Hong Kong SAR, China, Paris, France December 2, 2024 – Aramco, one of the world’s leading integrated energy and chemicals companies, through a directly and wholly owned subsidiary, Aramco Asia Singapore Pte. Ltd., has completed the purchase of a 10% equity stake in Horse Powertrain, a global leader in hybrid and internal combustion powertrain solutions. The transaction builds on Aramco’s efforts to develop new mobility solutions with the potential to reduce transport emissions.

The transaction’s completion follows the signing of definitive agreements on June 28, 2024, and receipt of all applicable regulatory approvals. Aramco’s investment is based on a €7.4 billion enterprise valuation of Horse Powertrain, in which Renault Group and Geely (through Geely Holding and Geely Auto) each retain a 45% stake.

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.”

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.”

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.”

Aramco’s investment is expected to accelerate Horse Powertrain’s efforts to develop next-generation ICE and hybrid powertrains, along with complementary technologies like alternative fuel and hydrogen solutions. As part of the transaction, Aramco and affiliate Valvoline Global Operations will collaborate with Horse Powertrain on innovations in ICE technology, fuels, and lubricants. Thanks to its technology leadership, global manufacturing and economies of scale, Horse Powertrain will further solidify its value proposition to automotive and transportation groups worldwide. Horse Powertrain aims to become a peerless partner for accessible cutting-edge hybrid and ICE powertrain solutions, helping to reduce global vehicle emissions.

The Board of Directors of Horse Powertrain is now composed of seven members:

• Three directors from Geely: Daniel Donghui Li (Vice Chairman of Geely Auto and CEO, Geely Holding) will become Chairman of the Board, Jerry Gan (CEO, Geely Auto Group) and Andy An (President, Geely Holding and Chairman, Geely Auto Group)
• Three directors from Renault Group: François Provost (Chief Procurement, Partnerships, and Public Affairs Officer at Renault Group), Thierry Charvet (Chief Industry and Quality Officer at Renault Group), and Denis Le Vot (CEO, Dacia and Chief Supply Chain Officer at Renault Group)
• One director from Aramco: Ali A. Al Meshari (Aramco Senior Vice President of Technology Oversight & Coordination)

Horse Powertrain factsheet:

• 17 global plants
• 10 industrial customers in 130 countries, including vehicle manufacturers
• 5 R&D centers
• c. 19,000 employees
• Strategic footprint focused on China, Europe and Latin America
• Expected c. 5 million powertrain units per year
• All types of powertrain solutions covered – full hybrids, long-range plug-in hybrids, and internal combustion engines that use alternative fuels such as ethanol, methanol, LPG, CNG, hydrogen, etc.

HORSE, a division of Horse Powertrain and a leader in innovative and low-emission powertrain systems, has started production of the new ‘DB49’ transmission at its plant in Seville, Spain.

The new transmission is the first to be designed in-house by HORSE, and can be applied to plug-in hybrid passenger vehicles. The DB49 gearbox is a clutchless, 15-speed unit, producing a maximum torque of 470Nm and a peak output of 35kW. It features two electric motors for maximum versatility across a range of driving conditions.

Weighing just 99kg, the new transmission will first feature in the plug-in hybrid models of the Renault Rafale SUV.

The new DB49 is controlled via HORSE’s Power Electronics Box (PEB), a cutting-edge integrated electronics unit. The PEB, produced at HORSE’s Aveiro plant, includes optimized hardware and software to significantly reduce the use of battery charge.

Patrice Haettel, Chief Executive Office at HORSE, said: “The start of DB49 production in Seville is more than just a technological milestone; it reaffirms the strategic role HORSE plays in the global mobility ecosystem. The DB49 is a hybrid gearbox—a progression of the DB35—designed for the engine used in the Renault Rafale. It is the result of relentless innovation aimed at developing technological solutions for a more responsible and sustainable future while meeting the demands of the global market.This is innovation that doesn’t just seek to invent but to continuously improve what we are already doing.”

Javier Bernaldez Garcia, Plant Director at HORSE Seville, said: “Our Seville team continues to push at the forefront of transmission innovation, and DB49 is no exception. Matching performance and efficiency, this new transmission will be a benchmark for transmission systems for many years to come. We’ve invested resources to ensure the plant remains state-of-the-art, ensuring quality and durability of every unit manufactured.”

The new transmission will be produced at HORSE’s Seville plant. Employing over 1,000 technicians and engineers, HORSE Seville is the company’s main plant for hybrid transmission production – while also producing critical units for the ICE value chain. More than 60% of the plant’s output is exported beyond Spain.

The plant has produced transmissions for more than 60 years and built more than 32 million units over its lifetime. In 2024, HORSE Seville produced 666,670 transmissions. This includes the first generation of the plant’s hybrid gearboxes, including DB49.

Shifting to hybrid gearbox production represented one of the biggest transformations in the plant’s history, requiring the creation of two new assembly lines and the adaptation of several machining lines.

To ensure stringent quality control, HORSE Seville has also invested in a state-of-the-art test bench to provide world-class acoustic, vibrational, and functional analysis of mechanical and electronic components. The plant has also adopted a number of ‘data-centric’ processes to streamline access to documentation, testing data, and individual unit information.

HORSE, a division of Horse Powertrain and a leader in innovative and low emissions powertrain systems, has collaborated with Portugal’s Centre of Engineering and Product Development (CEiiA) to design and develop a new transmission technology for light vehicles, as this market is growing very fast towards 2030.

The new ‘reducer’ transmission is the first of a new generation of technologies that have been designed, developed and built in-house by HORSE.

HORSE will deliver the initial prototypes of this technology from its Aveiro production facility. Each will be fitted to an L7e-class microcar – a light vehicle designed for a new mobility service to accelerate carbon neutrality in cities. This will be developed and tested by CEiiA in a preproduction series, with approval targeted during the first half of 2025.

CEiiA’s new light vehicle project is being developed as part of the organisation’s ongoing mission to develop and scale new products and services to enable carbon neutral urban mobility. The value chain for the microcar will be based in Portugal, with the involvement of global players to enable delivery. The vehicle follows previous micromobility projects, including Buddy in 2008 and the Toyota APM presented at the 2024 Paris Olympics.

Full-scale production of the new transmission component could start as early as the second half of 2025, with as many as 20,000 units delivered from the Portugal plant as urban-mobility solutions scale up. Plans are for integration of the gearbox into the light vehicle design with performance testing by December of 2025.

Patrice Haettel, Chief Executive at HORSE, said: “This new offering is a first for HORSE – the first technology that the team has completely designed, developed, and manufactured in-house – a watershed moment for the brand. There is no single solution to solving the global challenges of decarbonisation or urban mobility, and we see this technology as one of the many in-house products that help to answers these challenges. Together, HORSE and CEiiA are making an important contribution to the overall challenge of delivering affordable and sustainable urban mobility at scale.”

Municipal micromobility at scale

CEiiA is spearheading the development of its new urban microcar solution, in partnership with leading automotive companies. Designed for the use in dense urban areas, the first public trial for the new L7e vehicle will take place in several cities in Portugal. Following its targeted approval date of the second half of 2025, it will offer an accessible transit solution across the city.

This initiative aims to be a model for other cities around the world, with CEiiA planning to scale the vehicle for mass use in the coming years. HORSE is already researching other micromobility projects around the world that could make use of the gearbox reducer developed for this project.