Sources: Cummins Inc., Columbus, Ind.; CP staff
Cummins has completed its $3.7 billion acquisition of Meritor Inc., a key player in drivetrain, mobility, braking, aftermarket and electric powertrain solutions for commercial vehicle and industrial markets. Meritor product offerings and capabilities in axle and brake technology, Cummins officials note, will position their company as a leading provider of integrated powertrain solutions across internal combustion and electric power applications. As demand for decarbonized transportation solutions accelerates, they add, ePowertrains will be a critical integration point within hybrid and electric drivetrains.
Cummins intends to deliver market-leading decarbonized solutions to global customers by accelerating Meritor’s investment in electrification and integrating development within its New Power business. The acquisition also adds products to Cummins’ components business, presenting growth opportunities across a range of power solutions and applications. Cummins expects to utilize its global footprint to accelerate the growth of core axle and brake businesses by serving commercial truck, trailer, off-highway, and aftermarket customers around the world.
“Cummins and Meritor will move further and faster in developing economically viable decarbonized powertrain solutions that are better for people and our planet,” says Cummins President and CEO Jennifer Rumsey.
“Cummins can help grow Meritor’s core business given our sales and service network and customer relationships around the world, and this acquisition has clear synergies for both companies that will position us for future investments during our industry’s technology transition,” says Cummins Executive Chairman Tom Linebarger. “We are relentless in our focus on Destination Zero, our company strategy to achieve net-zero emissions, and will lead in the transition to decarbonized power. This acquisition is an important step in executing on our strategy.”