Aramco acquires a 10 percent stake in the Renault-Geely joint venture Horse Power

Saudi Arabia's state-owned oil company Aramco has completed the acquisition of a 10% stake in Horse Powertrain, a global leader in hybrid powertrains and internal combustion engines, through its direct and wholly-owned subsidiary Aramco Asia Singapore Pte. Ltd. The company is the world's largest oil producer and considers itself a leading integrated energy and chemicals company. The transaction is part of the company's efforts to develop new mobility solutions that have the potential to reduce traffic emissions, it says. Aramco's investment is based on a company valuation for Horse Powertrain of 7.4 billion euros. The Renault Group and Geely (through Geely Holding and Geely Auto) each hold 45% of the shares in Horse Powertrain.

"Reducing traffic emissions requires a broad range of approaches," argues Ahmad O. Al Khowaiter, Executive Vice President Technology & Innovation at Aramco.

In doing so, the diversity of the global vehicle fleet, the major differences in traffic infrastructure, and the specific needs of drivers in different countries must be taken into account, the oil company states. A number of potential innovative solutions are being pursued, from lower-CO₂ synthetic fuels to more efficient internal combustion engines. The investments would be based on extensive research and development.

"By joining forces with two global leading automobile manufacturers, we aim to leverage our collective expertise to advance lower-emission mobility solutions," the company explains.