Westport buys clean-energy company for $25m in stock
Westport Innovations Inc. (TSX:WPT; Nasdaq:WPRT) announced June 28 that it will buy clean-energy company BAF Technologies Inc. and its subsidiary, ServoTech Engineering, Inc., from Clean Energy Fuels Corp. for $25 million in stock.
The company also committed $5 million to a co-marketing program with Clean Energy.
"BAF has established a strong portfolio of natural gas vehicle products and customers over the past decade," said Westport executive vice-president Ian Scott. "With natural gas increasingly seen as a major transportation fuel around the world, we believe the combination of this new team's market experience and Westport's technologies, scalable manufacturing processes and quality control systems will help create the type of products needed to deliver an OEM-quality vehicle experience to our customers."
Westport said the deal secures its position as Ford's largest partner under the qualified vehicle-modifier program.
Clean Energy Fuels manufactures compressed natural gas and liquefied natural gas equipment and has natural gas fuelling stations across North America.
The purchase price of $25 million in stock is based on a share price of $30.62.
Westport shares hit more than $36 on Tuesday – the highest level since September 2012.
Westport develops engines that use fuels such as compressed natural gas, liquefied natural gas, hydrogen and renewable natural gas fuels such as landfill gas.