USA: FAB Industries and Enviromech Industries Merge to Form Agility Fuel Systems

FAB Industries and Enviromech Industries, two leading providers of alternative fuel systems for heavy duty trucks, buses and specialty vehicles, announced an agreement to merge to form Agility Fuel Systems. Element Partners, a clean technology-focused private equity fund, provided equity capital to complete the transaction. Sam Gabbita and Michael DeRosa from Element, and Michael Gallagher, Senior Advisor and Former President and Chief Operating Officer of Westport Innovations will join Agility’s Board of Directors.

With over a decade of design experience in the use of compressed and liquid natural gas, hydrogen fuels, and other compressed industrial gases, Agility Fuel Systems becomes the leading provider of on-vehicle alternative fuel systems to heavy duty commercial vehicle manufacturers, dealers and end-users. The Company’s full spectrum of services includes engineering, design, prototyping, manufacturing, installation, and continuous aftermarket service and support.

“Without question, FAB, AFV (a Southern California company acquired by FAB in 2005), and Enviromech are the leaders in the industry. This merger provides a platform to combine the best of the best and expand our services and footprint to meet the growing needs of the industry” said Ron Eickelman, President of FAB.

According to Joe Pike, CEO of Enviromech, “The merger of our companies to create Agility Fuel Systems is exciting and beneficial at many levels. The prime benefit will be to our customer base in having an unrivaled level of engineering, service and product knowledge to serve their needs.”

The merger of FAB and Enviromech unites two innovators in the design and manufacture of alternative fuel systems. Key strengths of the combination include:

• Deep engineering, design and fabrication experience, with over a decade of experience designing and building innovative fuel systems.

• A long track record of safety and reliability, with over 10,000 systems currently deployed in fleets across North America and around the world.

• Engineering, production, installation and service locations in California, Alabama, and British Columbia, Canada.

• Capabilities, experience and an extensive design library across a wide range of fueling systems, including CNG, LNG, hydrogen and electric hybrids, for a wide variety of vehicle configurations, engine technologies and fleet applications.

• A team of trained technicians who install systems at Agility’s facilities or right at customers’ sites. Agility also provides customer and service center training.

“Using natural gas rather than diesel oil as a transportation fuel represents a meaningful economic and environmental value proposition for heavy duty vehicle fleet operators, and Agility provides critical, highly-engineered fueling systems for these heavy duty vehicles,” said Sam Gabbita, Partner at Element Partners. “We are excited to be partnering with Agility’s management team to help continue their growth in the industry and expand their capabilities for customers.”

[mappress]

Source: Agility Fuel Systems, January 7, 2011;