Westport to sell portion of Weichai joint venture interest

23 August 2016

Westport Fuel Systems announced that it has entered into agreements to sell an 11.7% interest in the Weichai Westport Inc. (WWI) joint venture for gross proceeds of 48.2 million RMB (US$7.2 million) to Weichai Holding Group Co., Ltd. and an additional undisclosed purchaser. Associated with the sale, Westport Fuel Systems will also receive a dividend payment of 23.8 million RMB (US$3.5 million) from the joint venture, generating total gross proceeds of 72.0 million RMB (US$10.7 million).

Westport Fuel Systems will still hold a minority interest in WWI. The company said it continues to advance development of its High Pressure Direct Injection 2.0 (HPDI 2.0) products with WWI, with commercial launch in China planned for 2017. In addition, Westport Fuel Systems has signed a framework agreement with WWI for the supply of alternative fuel system components.

Westport™ HPDI 2.0 is a natural gas technology capable of delivering performance and fuel economy equivalent to that of high performance diesel-fueled engines. The HPDI system utilizes a dual injector that injects both diesel fuel and natural gas directly into the cylinder, delivering diesel-like performance, but also producing relatively high emissions compared to other natural gas engine technologies. The earlier generation of Westport HPDI engines certified to the US 2010 emission standards were fitted with diesel-style aftertreatment, including particulate filters and urea-SCR systems.

Source: Westport