Cummins to Acquire Silicon Valley’s Efficient Drivetrains
Cummins Inc. announced it is acquiring Silicon Valley-based Efficient Drivetrains Inc., which designs and produces hybrid and fully-electric power solutions for commercial markets.
Terms were not immediately disclosed. The transaction is expected to close in the third quarter.
Based in the Silicon Valley in California, EDI’s portfolio of hybrid-electric drivetrain systems, the EDI PowerDrive series, have traveled more than 6 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, according to the Columbus, Ind.-based company.
“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,” Cummins Chairman Tom Linebarger said in a statement. The vehicle manufacturers are evolving to include hybrid and electric technologies in their offerings, said Joerg Ferchau, EDI’s chairman and CEO.
“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,” Ferchau said.
At the same time, during the past nine months, Cummins accelerated investments in electrification, acquiring UK-based Johnson Matthey Battery Systems and North America-based Brammo.
