VANCOUVER, CANADA – Westport Innovations Inc., a leader in alternative fuel technologies, announced it has agreed to purchase Emer S.p.A. (Emer) of Brescia, Italy, for 27 million euros (approximately $39.6 million in U.S. dollars).
Founded in 1975, Emer is a leading fuel system provider in the compressed natural gas (CNG) and liquefied petroleum gas (LPG) industry. The purchase will be made with a combination of stock and cash, plus the assumption of approximately 53 million euros in existing net debt within Emer.
Westport Innovations said the combined operations, under Westport’s Juniper Engines business unit, will “offer a complete systems solution to OEMs looking to take advantage of the growing alternative fuel market.” Juniper’s Italian operations, including Emer, will continue to be managed by Maurizio Grando, managing director.
“Juniper’s vision for leadership in the CNG and LPG automotive marketplace includes providing complete systems integration for leading global OEMs,” said Ian Scott, president of Juniper Engines. “As the market leader in high pressure components, Emer provides a major element in our strategic growth plans as well as bringing world-class OEM relationships, new markets and critical mass. We are fortunate to have Emer join the Juniper group.”
The transaction, expected to close on or about July 1, is still subject to a number of conditions, however.
Emer has established a leading market position in high-pressure natural gas components, including tank valves, filling valves, fuel lines and filters. Operations are ISO TS certified. The company also has longstanding relationships with leading global OEMs, acting as a supplier and co-development partner with such companies as Fiat and Volkswagen.
What’s more, Emer has already established a presence in such emerging markets as Eastern Europe, India and Latin America. The company has more than 100 patents in CNG and LPG systems and components.