Dana completes $2.7 billion sale of Off-Highway business to Allison Transmission
Dana Incorporated completed the sale of its Off-Highway business to Allison Transmission Holdings, Inc. on January 1, 2026, for $2.732 billion in cash, subject to certain adjustments. Dana says the deal will allow it to reduce debt by about $2 billion and return $1 billion to shareholders through 2027, including about $650 million already returned, which matters to shareholders because it changes the company's debt level and capital return plans.
- Sale closed January 1, 2026, for $2.732 billion in cash, subject to adjustments.
- Buyer is Allison Transmission Holdings, Inc. (NYSE: ALSN); Dana says the deal is valued at 7.5 times the business's expected 2025 adjusted EBITDA.
- Dana plans to reduce debt by about $2 billion to reach target net leverage of 1x over the business cycle.
- Dana plans to return $1 billion to shareholders through 2027, with about $650 million already returned; the target is $50 million above the prior target.