The US American engine manufacturer Cummins has increased their initial investment from September 2019 in Loop Energy, a Canadian manufacturer of fuel cell systems. The goal is to develop a fuel cell range extender for commercial electric vehicles.
Cummins does not disclose the sum of the investment in its announcement. It does say that Loop intends to use the new capital to accelerate product development and growth plans. Loop specialises in medium and heavy-duty fuel cell buses and trucks, a niche where the company considers itself a “technical leader”.
“Cummins subsequent investment is further validation of Loop’s game-changing fuel cell technology, commercialisation momentum, and the growing recognition of the role hydrogen fuel cells will play in commercial transport applications,” said Ben Nyland, President and CEO of Loop Energy.
Representatives from Cummins are somewhat more reserved in their statement and do not use words like “breakthrough”. Still, Cummins says it is “committed to investing in a diverse energy future, including fuel cell electrification, to offer our customers the power of choice,” said Thad Ewald, Vice President of Strategy for Cummins. “This is our latest investment in clean, high-performing products with differentiated technologies that will help us deliver value to customers in key markets.”
With the increased investment, Cummins also gains a seat on the Board of Directors of Loop Energy. The Board now comprises of Wayne Eckerle, Vice President of Global Research and Development for Cummins.