Hexagon Composites to Acquire Remainder of Agility Fuel Solutions
Composite pressure cylinder supplier Hexagon Composites ASA signed an agreement to acquire the remaining 50% of Agility Fuel Solutions Holdings Inc., which promotes the alternatives of natural gas, biogas, hydrogen, propane and electrification to power a range of industries.
Senior managers will stay on at Agility, which will keep its name and be a business unit within Hexagon.
Agility Fuel Systems and Hexagon’s medium- and heavy-duty compressed natural gas vehicle businesses merged in 2016 to create Agility Fuel Solutions, resulting in Hexagon owning 50% of Agility.
The latest transaction values Agility’s equity at $250 million. The agreement was signed on Nov. 8, with closing expected in January.
Hexagon Composites high-pressure cylinders. Hexagon has an agreement to acquire the remaining 50% of Agility. (Hexagon Composites)
“Agility remains focused on driving adoption of clean transportation alternatives in the global commercial vehicle markets, including the trucking market in North America. We see increased adoption of natural gas as a fuel in the trucking market as beneficial for carriers and private fleets and as a key focus for Agility’s growth. We are also continuing to invest in our growth in global markets in Europe, South America and India and in new technologies, including electric vehicle and hybrid battery storage and drivetrains, and hydrogen,” Charles Silio, Agility’s vice president of strategy, told Transport Topics.
Agility’s products include natural gas, hydrogen and battery electric energy storage and delivery systems, Type 4 composite natural gas cylinders, propane and natural gas fuel systems and propane dispensers.
The companies have delivered more than half a million cylinders and more than 40,000 fuel systems to customers around the globe, according to Hexagon.
“We are really happy to have reached this milestone,” Hexagon CEO Jon Erik Engeset said in a statement. “We believe the timing to be optimal. Fuel-price spreads are back at attractive levels, payback times are favorable and the global focus on the environment has never been stronger.”
Hexagon, which is headquartered in Aalesund, Norway, has production facilities in Raufoss, Norway, Kassel, Germany, Heath, Ohio, and Lincoln, Neb. In addition, Hexagon has sales offices in Europe, North America and Asia.
Ligocki
Agility has production facilities in Lincoln, Neb., Salisbury, N.C., Fontana, Calif., and Raufoss, Norway, with technology centers in Lincoln, Neb., Wixom, Mich., and Kelowna, British Columbia, and maintains sales offices in North America, South America, India, the U.K. and Norway.
The combined business will provide clean-energy solutions to a wide range of end markets around the world, including household, industrial, gas transportation, marine, rail and light-, medium- and heavy-duty vehicles.
“For our customers, this will provide Agility access to greater global resources and scale across a broad portfolio of sustainable energy technologies,” Agility CEO Kathleen Ligocki said.
Hexagon is listed on the Oslo Stock Exchange. It has 400 employees and generated about $173 million in revenue in 2017.
