Cummins closes on Siemens CV business
By Mike Brezonick30 November 2022
Cummins announced that it, through its subsidiary Meritor, has completed its acquisition of Siemens’ Commercial Vehicles business, a global supplier of high-performance electric drive systems for commercial vehicles. In May, Meritor entered into an agreement to acquire the business for approximately €190 million (US$196 million) enterprise value. Cummins subsequently completed its $3.7 billion acquisition of Meritor in August.
Cummins said the acquisition of the Siemens Commercial Vehicles business adds key capabilities in direct drive and transmission-based remote mount electric motors, inverters, software and related services which are critical elements in the next generation of electric powertrains. These capabilities, and the addition of nearly 200 employees primarily in Germany, China and the United States, will accelerate its ability to offer global customers a wider array of electrified product solutions across commercial vehicle applications, Cummins said.
“We are excited to welcome Siemens’ Commercial Vehicles electric drive systems business into Cummins,” said Jennifer Rumsey, Cummins’ president and CEO. “By combining our collective, deep knowledge of our industry and how our customers use our applications, we will innovate and advance key technologies. This acquisition also reflects another key milestone in the execution of our strategy to reach net-zero emissions by 2050 in a way that is best for our customers and the planet.”
The acquired business will report through Cummins New Power business unit.
“We are thrilled to join Cummins which has a long history serving the commercial vehicle market,” said Mart Verschoor, former CEO of Siemens Commercial Vehicles who will assume the role as vice president – Traction Systems within Cummins’ New Power segment. “I know we will deliver technologies required to accelerate adoption of zero-emission powertrains that delight our customers and move our communities forward.”