NFI announces battery pack supply agreement with American Battery Systems, increasing the resiliency of NFI’s North American battery supply chain
- Partnership with ABS will increase capacity and add resiliency to NFI's North American battery supply
- ABS will act as a second battery supplier, supporting NFI's production ramp-up
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ST. CLOUD, Minn., Oct. 04, 2023 (GLOBE NEWSWIRE) -- (TSX: NFI, OTC: NFYEF, TSX: NFI.DB) NFI Group Inc. (NFI), a leading independent bus and coach manufacturer and a leader in electric mass mobility solutions, today announced a partnership with American Battery Solutions (ABS) for the supply of custom battery packs to power NFI’s battery-electric transit buses and coaches in North America that will increase capacity and add resiliency to NFI’s North American battery supply.
“Demand for battery-electric buses is accelerating, and we are leading the evolution to zero-emission public transportation. Our partnership with ABS will provide NFI with the capacity, flexibility, and resiliency we need as we ramp up production at our facilities across North America,” said Chris Stoddart, President, North American Bus and Coach, NFI. “ABS has made significant investments in their pack assembly and battery technology, providing us with industry leading solutions. We look forward to working together with ABS to advance battery technology for public transportation.”
ABS designs and manufactures modular battery solutions for transportation, industrial, and commercial markets primarily in North America and Europe. The team at ABS includes some of the most recognized battery systems experts in the industry, possessing decades of experience in designing, developing, and manufacturing high-volume advanced battery systems.
NFI entered into a five-year agreement with ABS in 2021 and, following two years of extensive development and testing, NFI is now launching ABS batteries into bus production for customer deliveries starting in the first quarter of 2024. ABS will act as a second battery supplier to NFI, and will support NFI’s significant battery-electric production ramp-up planned for 2024 and 2025.
The packages designed for NFI utilize NMC cells sourced from one of the world’s leading battery cell manufacturers, with cell volume secured through a multi-year supply agreement. ABS’ scalable custom designed pack solution fits inside NFI’s existing battery enclosure design, providing an alternate source of supply for NFI’s battery-electric bus contracts and creating opportunity for technology enhancements. Design and engineering for these new battery packs has been led from ABS' Michigan Innovation Center in Lake Orion, with pack production at ABS' Springboro, OH manufacturing facility.
"We are excited and proud to partner with NFI, a company at the forefront of electric-powered public transportation. This contract reflects NFI’s well-placed confidence in ABS’ ability to meet technical and performance requirements at a healthy volume with the right cost position," said Subhash Dhar, ABS Founder, Chairman & CEO. "We have invested over
NFI’s battery and fuel cell-electric buses and coaches have collectively travelled over 120 million electric service miles globally, with NFI Infrastructure Solutions’ turnkey smart charging services delivering more than 410 chargers delivered to date. NFI is a leader in zero-emission mobility, with electric vehicles operating (or on order) in more than 140 cities in six countries.
Today, NFI supports growing North American cities with scalable, clean, and sustainable mobility solutions through its mobility solution ecosystem, which includes buses and coaches; infrastructure; parts and service; technology; workforce development and training; and vehicle financing. NFI also operates the Vehicle Innovation Center (“VIC”), the first and only innovation lab of its kind dedicated to advancing bus and coach technology and providing workforce development. Since opening in late 2017, the VIC has hosted over 350 interactive events, welcoming 7,000 industry professionals for EV and infrastructure training.
About NFI
Leveraging 450 years of combined experience, NFI is leading the electrification of mass mobility around the world. With zero-emission buses and coaches, infrastructure, and technology, NFI meets today’s urban demands for scalable smart mobility solutions. Together, NFI is enabling more livable cities through connected, clean, and sustainable transportation.
With 7,700 team members in ten countries, NFI is a leading global bus manufacturer of mass mobility solutions under the brands New Flyer® (heavy-duty transit buses), MCI® (motor coaches), Alexander Dennis Limited (single and double-deck buses), Plaxton (motor coaches), ARBOC® (low-floor cutaway and medium-duty buses), and NFI Parts™. NFI currently offers the widest range of sustainable drive systems available, including zero-emission electric (trolley, battery, and fuel cell), natural gas, electric hybrid, and clean diesel. In total, NFI supports its installed base of over 100,000 buses and coaches around the world. NFI’s common shares are traded on the Toronto Stock Exchange under the symbol NFI, its convertible unsecured debentures trade on the Toronto Stock Exchange under the symbol NFI.DB. News and information is available at www.nfigroup.com, www.newflyer.com, www.mcicoach.com, www.nfi.parts, www.alexander-dennis.com, www.arbocsv.com, and www.carfaircomposites.com.
About New Flyer
New Flyer is North America’s heavy-duty transit bus leader and offers the most advanced product line under the Xcelsior® and Xcelsior CHARGE® brands. It also offers infrastructure development through NFI Infrastructure Solutions™, a service dedicated to providing safe, sustainable, and reliable charging and mobility solutions. New Flyer actively supports over 35,000 heavy-duty transit buses (New Flyer, NABI, and Orion) currently in service, of which 8,600 are powered by electric motors and battery propulsion and 1,900 are zero-emission.
About American Battery Solutions
American Battery Solutions designs and manufactures modular battery solutions for transportation, industrial and commercial markets primarily in North America and Europe. The team at ABS includes some of the most recognized battery systems experts in the industry, possessing decades of experience in designing, developing, and manufacturing high-volume advanced battery systems. Our experts are now applying this experience to the emerging and rapidly growing transportation segments, concentrating on module production, pack assembly, and customer integration
ABS operates a 120,000 sq. ft. technical center in Michigan and a dedicated 170,000 square foot State-of-the Art purpose-built state of the art battery manufacturing facility in Ohio. It employs more than 250 people in Michigan, Ohio, and Massachusetts.
Forward-Looking Statement
This press release may contain forward-looking statements relating to expected future events of NFI Group, including expectations regarding the increase to capacity, availability, flexibility, and resiliency to NFI provided by the supply arrangement with ABS and the expected benefits to NFI and its customers in operating buses with components supplied by ABS, that involve risks and uncertainties. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions and speak only as of the date of this press release, investors cannot be assured that actual results will be consistent with these forward-looking statements, and the differences may be material. Actual results may differ materially from management expectations as projected in such forward-looking statements for a variety of reasons, including market and general economic conditions; ABS is a new supplier to NFI of a key component in an electric-battery bus and NFI has no prior supply experience with ABS; the ability of ABS to provide products that meet NFI’s and its customer’s specifications and within agreed delivery schedules; the products to be supplied by ABS have not yet been installed in production buses sold to customers and there is no operational experience with ABS’ products on NFI’s buses; the performance of ABS’ products may not meet expectations and may not be as great as those anticipated or may not be realized at all; the products sold by ABS may not be in demand by customers; the risks related to the dependence on limited sources or unique sources of supply as described in NFI’s materials filed with the Canadian securities regulatory authorities and available on SEDAR at www.sedarplus.ca (“Public Disclosure Documents”); and the other risks and uncertainties discussed in the Public Disclosure Documents.
Due to the potential impact of these factors, NFI disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.
For investor or media inquiries, please contact:
Stephen King
P: 204.224.6382
Stephen.King@nfigroup.com
