Electric powertrain manufacturer Lightning Systems announced a $41 million funding round to help meet growing demand for electric powertrains in U.S. commercial fleets.
BP Ventures led the investment round, which was announced Dec. 3, with additional funds from Cupola Infrastructure Income Fund.
Colorado-based Lightning Systems designs and manufactures zero-emission, all-electric powertrains for commercial fleets — Class 3 to Class 7 vehicles.
The company is currently delivering powertrains for over $25 million in orders from major public and private entities in the U.S. — from food and delivery trucks to passenger vans and city buses.
The new funds will be used to ramp up production to fulfill new orders for electric powertrains for Ford Transits, Ford E-450s, Ford F-59 step vans, Chevrolet Low Cab Forward 6500XD trucks and Lightning Electric city buses.
“We are now delivering powertrains for over $25 million in orders from major fleets, propelling Lightning Systems to the position of the established premium provider of a full range of platforms for commercial vehicle fleets,” said Tim Reeser, CEO of Lightning Systems, in a statement.
The ramp-up, he added, involves “high-quality powertrains for new and repowered commercial vehicles across Class 3-7 on five major platforms that are on the road with customers today.”
Bowing to regulatory and environmental pressures, a growing number of commercial vehicle manufacturers and fleets are investing in electric propulsion.
Last month, California proposed the nation’s first zero-emissions manufacturing standard, a policy that, if adopted, would require commercial vehicle manufacturers to sell a certain percentage of electric trucks.
“The global electric vehicle market is growing at an unprecedented rate, and we are seeing the electrification of more and more commercial fleets,” said David Hayes, chief investment officer for BP Ventures, in the statement.
Lightning already has a very wide base of vehicles that use its powertrains, Hayes added, “which will be key as fleets look to scale their investments in zero-emission vehicles.”
Founded 10 years ago as a builder of hydraulic hybrids, Lightning Systems pivoted toward fully electric powertrains two years ago.
The company works with fleets to provide electric powertrains sized for the customer’s drive cycle, with a full suite of telematics, analytics and charging solutions to maximize energy efficiency.