The deal will see Sevcon expand its addressable share of the high-growth vehicle electrification market by approximately 35%.
Bassi designs and manufactures battery chargers for electric vehicles. Its product range includes fast charging technologies suitable for a wide range of electrification markets, including rapid, high voltage and high power sectors.
In 2015, Bassi generated approximately £11.2m in annual revenues and was profitable. Bassi’s executive team will continue to manage the business.
Bassi will operate as a division of Sevcon from its present facility and no changes in employment levels are anticipated.
Sevcon president and chief executive officer, Matt Boyle, said: “This acquisition is an important milestone for Sevcon that we believe will accelerate our strategic growth and create significant long-term value for our stockholders.
“Battery charging and power management represent a rapidly growing sector of the electrification market that is highly complementary to Sevcon’s products.
“Customers regularly ask for charging solutions in conjunction with our new Gen5 motor controller line, especially in high voltage and high power applications. Bassi has world-class technology that offers an attractive integration opportunity with the Gen5.
“By offering customers a broader product portfolio that eliminates motor controllerbattery charger interoperability concerns, we believe we can secure a greater share of the on-road and industrial electrification markets.”
The purchase price consisted of £7.5m in cash and 500,000 shares. The acquisition was funded with cash provided under a five-year term loan facility by the New York City branch of the Italian bank Monte dei Paschi di Siena.