Landi Renzo and Clean Energy Combine Compressor Businesses, Setting Up a New Global Powerhouse
New Company Well-Positioned to Take Advantage of Move from Diesel to Natural Gas
CAVRIAGO,
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Upon closing, which is anticipated before the end of the year, Landi
Renzo will own 51% of the new company and take over operational
management, while Clean Energy will retain a 49% ownership. Andrew J.
Littlefair, President and CEO of Clean Energy, will serve as the
chairman of the board. The combined company will be headquartered in San
Giovanni Persiceto (BO),
"The world is rapidly waking up to the harmful impact that diesel is
having on air quality," said
"SAFE and Clean Energy Compression's businesses when combined, establish a completely complementary structure in geography, expertise and highly competitive products," said Littlefair. "Consolidating operations and corporate functions is expected to enable the new company to focus on manufacturing efficiencies with the best technologies and reduce redundant overhead, resulting in improved margins."
The new company will be able to take advantage of its global positioning, product offering and market penetration required to meet the growing demand of transportation fleets that seek solutions to replace diesel. Strict environmental policies are being adopted around the world to address air quality problems caused by polluting NOx emissions. Improved natural gas engine technology and a more abundant supply of renewable natural gas (RNG) allows some large vehicles to reduce their emissions by 90% and cut climate-changing greenhouse gases by 70% versus diesel.
The combination of SAFE and
Landi Renzo is the global leader in the LPG and Methane gas
components and systems for motor vehicle sector. The Company is based in
Cavriago (
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that involve risks, uncertainties and assumptions, such as statements regarding, among other things: the Company's agreement to combine its natural gas fueling compressor business with SAFE, whether the combined company is established as planned and whether the synergies, capabilities, overhead reductions, margin improvements, market addressability and strategic advantages expected from this combination are achieved; the timing of the proposed combination; and the benefits of natural gas (including RNG) as an alternative vehicle fuel, including economic and environmental benefits.
Actual results and the timing of events could differ materially from
those expressed in or implied by these forward-looking statements as a
result of a variety of factors, including, among others: satisfaction of
the conditions required to close the combination; supply, demand, use
and prices of crude oil, gasoline, diesel, natural gas and other
alternative fuels; the willingness of fleets and other consumers to
adopt natural gas (including RNG) as a vehicle fuel; the combined
company's ability to implement business plans. The forward-looking
statements made in this press release speak only as of the date of this
press release and Clean Energy undertakes no obligation to update
publicly such forward-looking statements to reflect subsequent events or
circumstances, except as otherwise required by law. Additionally, the
reports and other documents Clean Energy files with the
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Contact person for analysts/investors:
LANDI RENZO
M&A and Investor Relations Officer
ir@landi.it
or
Contact for
media:
02 89011300
landirenzo@imagebuilding.it
or
Clean
Energy Media Contact:
+1-949-437-1411
jason.johnston@cleanenergyfuels.com
or
Clean
Energy Investor Contact:
+1-949-437-1403
tkritzer@cleanenergyfuels.com
Source:
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