XL Hybrids Secures $22 Million Investment, Validates Mission of Vehicle Electrification
Constellation Technology Ventures joins IKEA Group in Series D round of funding
BOSTON--(BUSINESS WIRE)--XL Hybrids, Inc., XL Hybrids, Inc., the leader in connected fleet electrification solutions for commercial and municipal fleets, today announced it has raised an oversubscribed Series D round of $22 million. Constellation Technology Ventures (CTV), the venture capital arm of Exelon Corporation, and IKEA Group participated in the round along with new and existing large family office investors. The series brings XL Hybrids’ total funding to over $50 million to date for the development, sale and distribution of fleet vehicle electrification solutions to major customers across North America.
“XL Hybrids has led the way in commercial fleet electrification by working with Fortune 500 companies, major municipalities and leading automotive companies, such as Ford, General Motors and Isuzu”
CTV and IKEA Group both financially back companies that are leading the charge within the megatrends of vehicle electrification, vehicle connectivity and the low carbon economy. Their investment in XL Hybrids comes toward the end of an unprecedented year in which XL Hybrids’ roster of customers has collectively driven over 50 million miles using the XL3®Hybrid Electric Drive System in its passenger, service and delivery fleet vehicles. The latest funding will allow the company to accelerate growth by expanding its team and facilities, growing its product portfolio of hybrid electric and plug-in vehicle solutions, and investing in additional proprietary technical solutions.
“Electric vehicles are an increasingly viable option for customers to meet sustainability goals and manage operating fuel costs. Our investment in XL Hybrids both addresses a need in the commercial space for fleet conversion and is indicative of Exelon’s commitment to providing customers reliable, clean, and affordable energy products and services,” said Scott Dupcak, manager with CTV.
“At IKEA Group, we want to support innovative companies that are developing new technologies, solutions and business models and one of our priority investment areas is to help accelerate the transition towards electric transport. Through the investment in XL Hybrids, we want to enable the company to become a leading provider of electrification solutions for commercial vehicle fleets. It also builds on our existing investments in renewable energy and innovative solutions that help create a better everyday life and have a positive impact on the world,” said Krister Mattsson, Head of Financial Asset Management, IKEA Group.
XL Hybrids also recently marked several milestones, including:
- The first hybrid electric upfit for commercial Ford F-250 pickups, and the new XLP™ plug-In hybrid electric upfit for Ford F-150 pickups;
- A first-ever California Air Resources Board Executive Order for electrifying Ford Transit vans;
- Recent fleet customer wins, including The State of Massachusetts, The City of Long Beach, San Diego Gas & Electric, DTE Energy, and Harvard University; and
- The first-ever Ford Electrification Qualified Vehicle Modifier (eQVM).
“XL Hybrids has led the way in commercial fleet electrification by working with Fortune 500 companies, major municipalities and leading automotive companies, such as Ford, General Motors and Isuzu,” said Tod Hynes, founder and CEO of XL Hybrids. “CTV and IKEA Group are perfect partners to accelerate XL’s growth, scale our fleet electrification solutions, and help our customers reduce their fuel usage while saving money and meeting sustainability goals.”
About XL Hybrids
XL Hybrids is the leader in connected fleet electrification solutions for commercial and municipal fleets, relied on by customers such as The Coca-Cola Company, Yale University and the City of Boston. With the revolutionarily simple XL3® Hybrid Electric Drive System and the XLP™ Plug-In Hybrid Electric Drive System, Class 2 to 6 commercial fleet customers can increase their fleets’ fuel economy by around 25 percent and reduce carbon dioxide emissions, decreasing operating costs and meeting sustainability goals with zero impact on fleet operations or service. XL Hybrids works with Ford, General Motors, Isuzu and other major OEMs on the proven path to scaling thousands of commercial trucks, vans and shuttles. Founded by MIT alumni and funded by Constellation Technology Ventures, IKEA Group and private investors, XL Hybrids is based in Boston. For more information, visit www.xlhybrids.com or on Twitter @XLHybrids.
Constellation is a leading competitive retail supplier of power, natural gas and energy products and services for homes and businesses across the continental United States. Constellation's family of retail businesses serves approximately 2.2 million residential, public sector and business customers, including more than two-thirds of the Fortune 100. Baltimore-based Constellation is a subsidiary of Exelon Corporation (NYSE: EXC), the nation's leading competitive energy provider, with 2016 revenues of approximately $31.4 billion, and more than 35,500 megawatts of owned capacity comprising one of the nation's cleanest and lowest-cost power generation fleets. Learn more at www.constellation.com or on Twitter at @ConstellationEG.
About IKEA Group (Ingka Holding B.V. and its controlled entities)
The IKEA vision is to create a better everyday life for the many people and we offer well designed, functional and affordable, high quality home furnishing, produced with care for people and the environment. The IKEA Group owns and operates 355 stores in 29 countries under franchise agreements with Inter IKEA Systems B.V. In addition there are more than 40 stores run by other franchisees. IKEA Group stores had 817 million visitors during FY17 and 2.1 billion people visited www.IKEA.com. IKEA Group’s venture capital investments unit invests to support the growth of innovative companies that are building a more sustainable, connected and affordable life at home.