Cummins, an industrial manufacturer based in the United States, has acquired First Mode, a leading provider of hybrid mining and rail power systems, to expand its portfolio. The acquisition closed on February 12, 2025, following an announcement made on February 11.
| Acquirer | Cummins (US) |
|---|---|
| Target | First Mode (CA) |
| Deal Value | Undisclosed |
| Type of Deal | Acquisition |
| Close Date | February 12, 2025 |
| Buy-side Financial Advisors | BofA Securities, 4GC Capital, BDA Partners |
| Sell-side Legal Advisors | Gowling WLG, Blake Cassels & Graydon LLP |
| Buy-side Legal Advisors | Wachtell Lipton Rosen & Katz, Baker McKenzie, Sidley Austin |
The deal includes First Mode’s hybrid mining and rail product lines, as well as its advanced intellectual property portfolio that covers hydrogen and battery powertrain technologies. This acquisition will allow Cummins to strengthen its position in the decarbonization of heavy machinery.
Strategic Rationale
Cummins sees First Mode’s technology portfolio as a strategic fit, particularly given the growing demand for hybrid mining and rail systems that support environmental sustainability goals. With a focus on developing retrofit solutions for existing equipment, Cummins aims to provide customers with cost-effective ways to transition their fleets toward more sustainable energy sources.
Financial Context
The manufacturing sector has been influenced by policy changes aimed at promoting domestic production and reducing reliance on imported goods. According to the Manufacturing Report 1H 2026, investors are increasingly attracted to companies that offer stable growth in mission-critical end markets such as energy, infrastructure, and industrial manufacturing.
First Mode’s technology fits into this trend, addressing the needs of industries looking to decarbonize their operations. By integrating First Mode’s solutions, Cummins expects to capture a significant share of this growing market segment.
Advisors
Cummins was advised by BofA Securities, 4GC Capital, and BDA Partners on the financial aspects of the deal, while Wachtell Lipton Rosen & Katz, Baker McKenzie, and Sidley Austin provided legal counsel.