Deere & Company, the parent company of John Deere, has signed a definitive agreement to acquire majority ownership in Kreisel Electric Inc, a battery technology provider based in Rainbach im Mühlkreis, Austria.
Kreisel develops high-density, high-durability electric battery modules and packs, as well as its own charging infrastructure platform that utilises patented technology.
The company is said to be a leading innovator in the development of immersion-cooled electric battery modules for high-performance and off-highway applications. It has a differentiated battery technology and battery-buffered charging infrastructure and currently services a global customer base.
John Deere sees demand growing for batteries as a sole or hybrid propulsion system for vehicles, including in its ranges of turf equipment, compact utility tractors, small tractors, compact construction, and road-building equipment.
This investment will allow John Deere to vertically integrate vehicle and powertrain designs around high-density battery packs while leveraging Kreisel’s charging technology to build the infrastructure required.
“Kreisel’s battery technology can be applied across the broad portfolio of Deere products, and Kreisel’s in-market experience will benefit Deere as it ramps up its battery-electric vehicle portfolio. Deere will provide the expertise, global footprint, and funding to enable Kreisel to continue its fast growth in core markets,” said Pierre Guyot, senior vice president, John Deere Power Systems. “This is an opportunity to invest in a company with unique technology that’s designed for the demanding conditions where Deere customers work.
“Furthermore, building an electrified portfolio is key to John Deere’s sustainability goal of pursuing new technologies that reduce the environmental impact of new products and work toward zero emissions propulsion systems on equipment, while increasing our customers’ efficiency and productivity,” Mr Guyot said.
Kreisel will retain its employees, brand name and trademark and continue to operate from its current location. The company was founded by brothers Johann, Markus and Philipp Kreisel and has approximately 160 full-time employees.
“The Kreisel team looks forward to expanding our base business, leveraging the Deere channel to accelerate the adoption of battery-electric vehicles and charging stations, and working with Deere’s vehicle design teams on product advancements,” said Markus Kreisel, who serves as managing director, along with his two brothers, at Kreisel Electric.
The transaction requires final regulatory approval in Austria, with closing expected to take place in approximately 60 days. Financial details are not being disclosed.