Automotive fluid systems engineer TI Fluid Systems (TIFS) has secured around €700m worth of contracts to supply components to the emerging electric vehicles (EV) market.

Doubts over the company’s ability to retain a valuable spot in the global automotive supply chain that is increasingly embracing electric-powered cars, trucks and buses has been one of the chief concerns for investors since the company returned to the stock market in October last year.

It helps explain why the share price has remained stubbornly anchored to its 255p admission price, currently trading at 270.4p. The hefty near 66% stake still held by private equity house Bain Capital is another worry for investors although analysts see up to 45% share price upside from current levels.

Numis Securities believes the swathe of new EV business underscores management’s optimism that the company is capable of doubling the value of components per EV over the coming years, from roughly €200 per vehicle. (SF)

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