Efficient Drivetrains, Inc. Acquisition Will Accelerate
Electrification Capabilities
Cummins Inc. (NYSE: CMI) today announced that it is acquiring Silicon
Valley-based Efficient Drivetrains, Inc. (EDI), which designs and
produces hybrid and fully-electric power solutions for commercial
markets. Adding EDI to the Cummins portfolio is the latest step forward
in Cummins’ efforts to become a global electrified power leader.
“As power needs and technologies continue to evolve, Cummins remains
committed to innovations that will deliver the right power solutions for
the right applications at the right time to help our customers’
succeed,” said Tom Linebarger, Chairman and CEO, Cummins Inc. “This
acquisition will combine EDI’s talented workforce and electrification
capabilities with Cummins’ expertise in developing and manufacturing the
technologies that power the world.”
Cummins began developing its electrification capabilities more than a
decade ago. During the past nine months, it accelerated investment in
this business when it undertook strategic efforts to build capabilities
across the entire range of electric storage, as evidenced by the
acquisitions of UK-based Johnson Matthey Battery Systems and North
America-based Brammo. Upon the addition of its fully-electric and unique
four-mode hybrid powertrains, EDI will broaden Cummins’ electrification
expertise and products. EDI’s hybrid system is the most versatile on the
market today, able to switch, in real time, between fully electric,
series and parallel modes.
“As the industry continues to evolve and OEMs move to include hybrid and
electric technologies in their vehicle offerings, the combination of
Cummins and EDI represents a tremendous opportunity for growth and
category leadership,” said Joerg Ferchau, EDI’s Chairman and Chief
Executive Officer. “EDI’s advanced portfolio of plug-in-hybrid and full
electric technologies paired with Cummins’ industry leadership and focus
on innovation will allow us to deliver best-in-class products, service
and support worldwide. Vehicle OEMs and fleets evaluating new electric
and hybrid technologies prefer to work with well-established companies
that have the depth and resources to provide the support that’s needed
to scale into high volume mass production. Together, we can lead the
electrification category, and provide exciting new options that the
market will embrace.”
Based in the Silicon Valley in California, EDI’s portfolio of
hybrid-electric drivetrain systems, the EDI PowerDrive™ series, have
traveled more than six million miles in a fleet setting in the United
States and China. EDI’s products and diverse customer base will provide
a springboard for Cummins into electrified markets, enabling the company
a more immediate ability to grow market share.
The closing of the acquisition of EDI is subject to the satisfaction of
customary closing conditions and is expected to close in the third
quarter.
About Cummins Inc.
Cummins Inc., a global power leader, is a corporation of complementary
business segments that design, manufacture, distribute and service a
broad portfolio of power solutions. The company’s products range from
diesel and natural gas engines to hybrid and electric platforms, as well
as related technologies, including battery systems, fuel systems,
controls, air handling, filtration, emission solutions and electrical
power generation systems. Headquartered in Columbus, Indiana (U.S.A.),
since its founding in 1919, Cummins currently employs approximately
58,600 people committed to powering a more prosperous world. Cummins
serves customers in about 190 countries and territories through a
network of some 500 company-owned and independent distributor locations
and approximately 7,500 dealer locations. Cummins earned about $1
billion on sales of $20.4 billion in 2017. Press releases can be found
on the Web at www.cummins.com.
Follow Cummins on Twitter at www.twitter.com/cummins
and on YouTube at www.youtube.com/cumminsinc.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180702005572/en/
Copyright Business Wire 2018
Source: Business Wire
(July 2, 2018 - 12:00 PM EDT)
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