NEW YORK, (Reuters) – Bankrupt U.S. auto parts maker First Brands said Tuesday that it had agreed to sell its Walbro business line to Canada-headquartered Active Dynamics Group for $50 million. The company is selling business units to fund its bankruptcy restructuring and address fraud claims.
The sale will preserve 600 jobs in Michigan, Arizona, and Los Mochis, Mexico, First Brands said.
Walbro makes small engine fuel systems, carburetors, fuel pumps, ignition systems, and related parts.
First Brands is working to sell other assets, including towing company Horizon.
The company previously shut down Brake Parts, Cardone, and Autolite units without a sale.
First Brands filed for bankruptcy in September 2025.
(This story has been corrected to remove the bullet point stating that the transaction includes the Carter Carburetor brand, which is part of the Walbro business but will be excluded from the sale)
Reporting by Dietrich Knauth; Editing by Andrei Khalip
