Westport to divest Light-Duty segment for $73.1M

Westport (WPRT) Fuel Systems has entered into a binding agreement to sell its interest in Westport Fuel Systems Italia S.r.l., which includes the Light-Duty segment, including the light-duty OEM, delayed OEM, and independent aftermarket businesses, to a wholly-owned investment vehicle of Heliaca Investments Cooperatief U.A., a Netherlands based investment firm supported by Ramphastos Investments Management B.V. a prominent Dutch venture capital and private equity firm. The Transaction provides for a base purchase price of $73.1M, subject to certain adjustments, and potential earnouts of up to an estimated $6.5M if certain conditions are achieved, in accordance with the terms of the Agreement. Moving forward, Westport intends to concentrate fully on providing affordable solutions for hard-to-decarbonize mobility and industrial applications, centered around the unique opportunities created by the HPDI technology and our Cespira joint venture. The Transaction also strengthens Westport’s balance sheet and enables Westport to consider strategic acquisition opportunities consistent with the above strategic focus and extend its runway to fund near-term growth