Cummins Inc. has announced it is acquiring Silicon Valley based Efficient Drivetrains Inc. (EDI), which designs and produces hybrid and fully-electric power solutions for commercial markets.
Cummins began developing its electrification capabilities more than a decade ago. Upon the addition of its fully-electric four-mode hybrid powertrains, EDI will broaden Cummins’ electrification expertise and products.
EDI’s portfolio of hybrid-electric drivetrain systems, the EDI PowerDrive series, has travelled 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.
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.
Tom Linebarger, Chairman and CEO, Cummins Inc. said: “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.
“This acquisition will combine EDI’s talented workforce and electrification capabilities with Cummins’ expertise in developing and manufacturing the technologies that power the world.”
Joerg Ferchau, EDI’s Chairman and Chief Executive Officer said: “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.”
“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.”