iStock

Shares of mobile vehicle-intelligence company Wabco Holdings (WBC - Get Report) jumped Thursday after the company confirmed it has had takeover discussions with German competitor ZF Friedrichshafen.

Wabco stock rose more than 7%, or $9.19, to $139.68 on the New York Stock Exchange. It ended the day Wednesday at $130.49. The stock is not far from its 52-week high of $143.19 reached last March.

"While it is the long-standing policy (of Wabco) not to comment on rumors in the marketplace or media reports, in response to market speculation and noting recent appreciation in its stock price, the company confirmed (Wednesday) that it has been approached by ZF Friedrichshafen AG and has engaged in preliminary discussions concerning a potential transaction," the company said.

"There can be no assurance that any agreement will be reached with respect to a transaction or that a transaction will be consummated."

Based in Belgium with offices in Auburn Hills, Michigan, Wabco specializes in producing and distributing advanced driver assistance systems for trucks and trailers, including electronic braking, stability, suspension and transmission automation systems. ZF helps auto makers develop gearboxes and hybrid drivetrains.

The two companies already have collaborated on what they call an Evasive Manoeuvre Assist system, which combines Wabco's automated braking and suspension systems for trucks with ZF's active steering technology.