Agility Fuel Systems to merge with Norwegian company
Published 12:00 am Wednesday, June 15, 2016
By Amanda Raymond
SALISBURY — Agility Fuel Systems is merging with a company headquartered in Norway to become Agility Fuel Solutions.
Agility Fuel Systems, with a facility in Salisbury, is a leader in the production of natural gas fuel systems. According to its website, the company provides “highly engineered and cost-effective natural gas fuel systems for heavy duty commercial vehicles.”
Hexagon Composites designs, tests and manufactures all-composite cylinders for natural gas vehicles.
According to a news release from Agility Fuel, Agility Fuel Systems will be merging with Hexagon Composites’ CNG Automotive Products Division. That division makes medium- and heavy-duty vehicle composite cylinders and also includes the company’s bus systems business unit.
Hexagon Composites and Agility’s current investors will equally own the new company.
According to the release, bringing together fuel systems from Agility Fuel and cylinders from Hexagon will reduce up-front costs for clean technology, bring new product ideas to market faster and provide faster returns on investments.
The new company will make cylinders for use in its fuel systems.
According to Greg Edds, Rowan County Board of Commissioners chairman, Agility Fuels had already been using Hexagon’s cylinders for its systems.
In an email, Edds said that the merger makes Agility Fuels a “true fully-integrated manufacturer.”
“This makes both of them an even larger player on the world’s natural gas fuel system stage, making Agility’s presence in Rowan County even more valuable to Rowan County and its citizens,” he wrote.
Edds also said there will probably be no immediate change in employment, but the merger will strengthen, enlarge and expand the reach of the company to larger markets.
Shawn Adelsberger, director of operations for Agility Fuel, confirmed what Edds stated and also said in an email that the merger solidifies the company’s investment in Salisbury.
“This merger represents a great opportunity to increase the adoption of natural gas and consequently increase our sales both domestically and internationally in yet untapped markets,” Adelsberger wrote. “That translates to higher production demands, thus creating more job opportunities.”
Adelsberger also said the new company will be the industry’s leading source for natural gas solutions and will have the best quality product for the lowest cost.
He said Agility Fuels started a joint venture with Hexagon in May of 2014. The new company will be more customer-focused, competitive and innovative.
Robert Van Geons, executive director of RowanWORKS, said Agility Fuel has been “great community partner” for Rowan County.
“We’re just excited for the continued growth of Agility Fuels Systems,” he said.
Kathleen Ligocki was named the CEO of the new company. In the release, she said the two companies have creative engineering processes, strong growth and are operated in a successful way.
“Agility is proud of our successful relationship with Hexagon, and together we will target driving adoption of clean natural gas systems in commercial vehicle markets around the world,” she said.
The merger is expected be finalized in the third quarter of 2016.
Editor Elizabeth Cook contributed to this article.