General Electric Co. is selling new generator technology to startup Hyliion Holdings Corp. and will take a roughly 3% stake in the electric trucking startup in a cash-and-stock transaction.
(Bloomberg) — General Electric Co.
is selling new generator technology to startup Hyliion Holdings Corp. and will take a roughly 3% stake in the electric trucking startup in a cash-and-stock transaction.
The system, cooked up by engineers at GE’s 3-D printing unit, can use as many as 20 different types of fuel and will be integrated into Hyliion’s next-generation electric truck powertrain platform.
Cedar Park, Texas-based Hyliion is also paying $15 million in cash for the GE assets as well as related intellectual property and some 3D-printing machines needed to manufacture the generators.
Shares of Hyliion rose as much as 7.9% Thursday in New York, while GE climbed as much as 2%.
The deal monetizes an invention by GE Additive, the conglomerate’s 3-D printing unit built via acquisitions prior to Chief Executive Officer Larry Culp’s tenure.
The unit is housed within GE’s aviation division.
Electric vehicle startups across the industry are looking for partners to bolster their chances at survival in the currently sluggish market — with Canoo Inc.
recently striking a deal to sell EVs to Walmart Inc. in exchange for potentially around 25% of its shares, and Nikola Corp. acquiring battery startup Romeo Power Inc.
Hyliion is one of many EV-related startups that went public by merging with a special purpose acquisition company.
Its stock declined about 40% this year through Wednesday and roughly 90% since its reverse IPO in October 2020.
(Updates with stock move in third paragraph.)
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