XL Fleet and Pivotal Investment Corp. II have entered into a merger agreement. Upon closing, the combined company will be named XL Fleet.
XL Fleet says it has over 3,200 commercial and municipal vehicles deployed throughout the U.S. and Canada which have logged more than 130 million customer miles driven on the company’s hybrid and plug-in hybrid electric drive systems. Upon closing, the company is expected to have an additional $350 million of funding, which it says it plans to invest in the development of new electrification technologies while also expanding into emerging markets outside of North America.
With the capital raised from this transaction, XL says it intends to fuel investments in the development of new products designed to accelerate the fleet industry’s transition from fossil fuels to electrified propulsion. The company expects to expand its current suite of hybrid and plug-in hybrid solutions for Class 2-6 vehicles to include zero CO2 (e.g., all-electric, hydrogen fuel cell electric) drive systems for a wide range of vehicles, including those in the heavy-duty Class 7-8 vehicle space.
In addition to its electrified powertrain platform, XL provides real-time data monitoring and analytics through its XL Link solution, which the company says it will use in part to continue developing its electrification-as-a-service suite.