Cummins Acquiring Efficient Drivetrains

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Cummins Inc. is acquiring Efficient Drivetrains, Inc. (EDI), a Silicon Valley startup that designs and produces hybrid and fully-electric power solutions for commercial markets. EDI has made a name for itself with its conversion and OEM solutions for buses, trucks, and other large vehicles. Cummins plans to add EDI to its portfolio in order to move forward on the company’s global electrification plans.

The EDI PowerDrive series of electrification systems have traveled more than six million miles in fleet use in the United States and China. EDI has a diverse product and customer base globally, including key markets such as North America and China.

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, acquiring UK-based Johnson Matthey Battery Systems and North America-based Brammo. The addition of EDI’s systems and technologies gives Cummins access to a hybrid system that is one of the most versatile on the market today; being capable of switching between full-electric drive, series, and parallel hybrid modes in real time.

Cummins expects the closing on the EDI acquisition to complete in the third quarter, subject to customary closing conditions requirements.