Compressed natural gas solutions provider Agility Fuel Systems and composite CNG cylinder maker Hexagon Composites have announced a merger of the two companies, creating a new entity, Agility Fuel Solutions.
The integration involves Hexagon’s CNG automotive products division, which includes medium- and heavy-duty vehicle composite cylinder manufacturing operations and Agility. The strategic integration of fuel systems and cylinders will allow Agility Fuel Solutions to reduce up-front costs for clean technology, which the company says will drive innovation and bring a faster return on investment.
“This merger combines two market leaders with strong backgrounds in engineering creativity, profitable growth and operational excellence” said Kathleen Ligocki, CEO of Agility Fuel Solutions. “Agility is proud of our successful relationship with Hexagon, and together we will target driving adoption of clean natural gas systems in commercial vehicle markets around the world.”
The combined company will have production sites in the U.S., Norway and Brazil with technical centers located in Lincoln, Neb., and Kelowna, B.C. Agility Fuel Solutions will manufacture cylinders for use in its systems as well as for direct sale.
“This transaction is a natural progression of our existing joint venture arrangement and will expand our ability to create unique value for our customers by deepening our technical capabilities and expanding our reach globally.” said Sam Gabbita, general partner at Element Partners, the lead investor for Agility Fuel Systems.