Cummins Closes Deal on CNG Joint Venture
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Columbus-based Cummins Inc. (NYSE: CMI) has completed its acquisition of a 50% equity interest in Momentum Fuel Technologies. The joint venture with Texas-based Rush Enterprises Inc. (Nasdaq: RUSHA) seeks to enhance near-zero emissions from natural gas powertrains for Class 6-8 trucks.
Momentum Fuel Technologies brings expertise in compressed natural gas fuel delivery systems that will be sold under the Cummins brand for the commercial vehicle market in North America.
“In order to truly achieve a zero-emission economy, we have to help customers transition seamlessly, which requires multiple solutions including natural gas, along with advanced diesel, electrified solutions, hydrogen fuel cell and other technologies,” said Srikanth Padmanabhan, president of Cummins’ engine business.
The technology is powered by renewable natural gas, which is sourced from methane collected from organic waste, such as landfills.
In addition to fuel technologies, Rush Enterprises is also a major operator of commercial truck dealerships. The company says the partnership with Cummins will offer aftermarket repairs and part for CNG trucks.
The proposed transaction is expected to close later this year.