Cummins Announces $3.7B Offer To Acquire Meritor

Cummins may possibly be all about diesel engines, but the heads of the company know that they will need to start hunting into electric powered or electrified powertrains, which is why they want to obtain Meritor. This company is around a century aged and now a international provider of business vehicle components, with a great deal of electrical powertrain knowledge.

The acquisition continue to needs to be approved by the Meritor board of directors, but seemingly everyone is on-board and the offer is expected to go by way of. Cummins will fork out $3.7-billion to get around Meritor and its almost 10,000 workers, with a product portfolio that features commercial auto drivetrains, mobility, braking and electric powertrains, amongst some others.

In accordance to Tom Linebarger, Cummins Chairman and CEO,

The acquisition of Meritor is an significant milestone for Cummins. Meritor is an industry chief, and the addition of their complementary strengths will help us deal with a person of the most crucial engineering worries of our age: developing economically feasible zero carbon remedies for professional and industrial purposes.

Local climate alter is the existential disaster of our time and this acquisition accelerates our means to tackle it. Our prospects will need economically viable decarbonized options.

In addition, our communities and our planet rely on businesses like Cummins to make investments in and produce these answers. This acquisition provides items to our parts business that are unbiased of powertrain engineering, and by leveraging our world-wide footprint we count on to speed up the progress in Meritor’s main axle and brake enterprises.

Cummins now sells diesel engines with displacements concerning 2.8 and 95 liters, for a incredibly extensive array of applications, not just automotive. It not too long ago started launching its own electric powered powertrain remedies, the most current we uncovered getting a totally electric remedy for airport terminal tractors referred to as PowerDrive 8000. After the Meritor merger materializes, Cummins will surely speed up the enhancement and rollout of these kinds of alternatives.