‘Innovative, Global Leader in Alternative Fuel, Engine and
Westport Fuel Systems, Inc. Is the New Name for the Combined Company
Westport Fuel Systems is the new name of the combined Westport Innovations and Fuel Systems Solutions, Inc. as completion of their merger was disclosed yesterday. The marriage, states a release, results in an “innovative, global leader in alternative fuel, engine and
Shares will be traded under the existing Westport Nasdaq symbol: WPRT, or Toronto:WPT. FSSI shareholders will receive 2.4755 Westport common shares for each share of FSSI common stock owned. FSSI shares will no longer be listed.
“This newly combined company brings together a complementary mix of products, technology and research and development; strong customer relationships; and talented employees, becoming an even stronger, innovative, global leader in the alternative fuel, engine and vehicle sector,” states a release.
‘Value for Our Customers’
“We bring together the best expertise, cutting-edge technology, innovation and leading product offerings in the natural gas industry for automotive and industrial applications,” Westport Fuel Systems CEO David Demers said in the merger completion announcement.
“In the coming months, we will relentlessly focus on creating value for our customers and shareholders by capturing cost synergies as well as leveraging our deep original equipment manufacturer (OEM) relationships, scale and global reach,” he said.
The merger was announced late this past summer (F&F, September 1).
Westport said last week that the impending merger, now complete, would provide shareholders of both companies with a number of significant strategic and financial benefits, including:
- Scale – The combined company is expected to deliver the scale and expertise to compete effectively, grow, and deliver strong shareholder returns.
- Strength – The combined company is expected to benefit from a strengthened balance sheet and enhanced liquidity, and to be positioned for continued investment and long-term financial stability.
- Global reach – The combined company will have a broad global reach enabling it to best serve customers and distributors. It will offer state-of-the-art facilities on five continents and a distribution network serving 70 countries, including the world’s largest and fastest-growing markets.
- Enhanced R&D and product development – The merger will combine Westport’s expertise in medium- and heavy-duty, and high horsepower applications with Fuel Systems’ core focus and development efforts in automotive and industrial applications.
- Deep OEM relationships – Both companies have built long-standing relationships with original equipment manufacturers (“OEMs”).
“We are excited to work together as one company to create a strong platform for growth in all of our active markets,” Demers said.
Westport reported first quarter sales of $24 million, down 14.3% from 2015’s first quarter revenues of $28 million.
FSSI reported first quarter sales of $56.1 million, down 5.9% from 2015’s first quarter revenues of $63.3 million.
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Source: Westport Fuel Systems with Fleets & Fuels follow-up