- Westport Fuel Systems (TSX:WPRT) closed its joint venture transaction with Volvo Group (OTC Pink:VLVLY) to bring its fuel system technology to the masses
- This joint venture aims to accelerate the commercialization and global adoption of Westport’s high pressure direct injection fuel system technology, used to reduce CO2 for long-haul and off-road applications
- Volvo acquired a 45 per cent interest in the joint venture for roughly US$28 million, plus up to an additional US$45 million as an earn-out depending on the joint venture’s performance
- Westport Fuel Systems Inc. last traded at C$7.54 per share
Westport Fuel Systems (TSX:WPRT) closed its joint venture transaction with Volvo Group (OTC Pink:VLVLY) to bring its fuel system technology to the masses.
Operating out of Vancouver, this joint venture aims to accelerate the commercialization and global adoption of Westport’s high pressure direct injection (HPDI) fuel system technology, used to reduce CO2 for long-haul and off-road applications.
Volvo acquired a 45 per cent interest in the joint venture for roughly US$28 million, plus up to an additional US$45 million as an earn-out depending on the joint venture’s performance.
“Together, we will accelerate the commercial adoption of HPDI for original equipment manufacturers (OEMs) globally by leveraging the HPDI fuel system to its fullest potential,” Dan Sceli, CEO and director of Westport Fuel Systems said in a news release. “HPDI is uniquely poised to create and implement affordable solutions in hard to abate sectors like heavy-duty transport and off-road applications.”
“As we embark on our joint venture together, we are confident that we can bring sustainable solutions forward using the internal combustion engine, running on renewable fuels now and hydrogen in the future,” Lars Stenqvist, Volvo Group’s chief technology officer added. “We, at Volvo, are committed to driving the transition to decarbonize transportation and this new HPDI joint venture enables us to accelerate the adoption of combustion engines powered by hydrogen and renewable fuels for long-haul and off-road applications in partnership with Westport.”
Westport Fuel Systems Inc. is a supplier of advanced fuel delivery components and systems for clean, low-carbon fuels such as natural gas, renewable natural gas, propane, and hydrogen to the global transportation industry.
Westport Fuel Systems Inc. (TSX:WPRT) last traded at C$7.54 per share.
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(Top photo: Westport Fuel Systems Inc.)
