Danfoss completes acquisition of Artemis Intelligent Power
By Mike Brezonick14 January 2021
The Danfoss Group has announced the completion of its acquisition of Artemis Intelligent Power Ltd. (AIP), an R&D and engineering company based in Edinburgh, Scotland. No information on purchase price or other conditions of the acquisition were disclosed.
Danfoss previously announced an acquisition of a majority share of AIP in October 2018, at that time creating a joint venture with Mitsubishi Heavy Industries, with Danfoss serving as the majority shareholder. With this announcement, AIP completely joins the Danfoss Power Solutions organization.
Danfoss said the acquisition is a crucial component of its plans to roll out its Digital Displacement technology worldwide. Click here for details on the Digital Displacement Pump from the January issue of Diesel Progress.
With the acquisition complete, approximately 60 employees will join Danfoss’ Digital Displacement team effective immediately. The AIP brand will be formally retired, with all products now branded in the marketplace as Danfoss Digital Displacement.
“Digital Displacement is a disruptive technology which radically increases efficiency and lowers fuel consumption wherever hydraulic fluid power is required,” said Jeff Herrin, vice president of R&D at Danfoss Power Solutions. “It has global potential to reduce CO2 emissions in industrial and off-highway machinery.
“The technology is particularly appealing to customers because it improves efficiency, productivity and control, plus reduces fuel consumption in sectors that are technically challenging to decarbonize. This is particularly pertinent as this year’s COP26 conference, being held in Scotland, will explore possible routes to a zero-carbon future.
“The last few years have further strengthened our confidence in Digital Displacement, enabling us to produce our first commercial solutions and engage with OEMs in Europe, China and the U.S. – with feedback being universally positive. The full acquisition of AIP will allow us to accelerate the adoption of Digital Displacement technology in our core industrial and off-highway markets. We’re now looking forward to fast-tracking the commercialization of this technology in a new family of hydraulic solutions.”
In 2018, Danfoss commenced a £22 million (US$30 million) project to develop low-carbon, off-highway machinery, a scheme co-funded by the U.K. government’s Advanced Propulsion Centre. Danfoss will make a further announcement on plans to create a global center of excellence in Edinburgh later this year.
“Digitalization is a key driver in our industry and Digital Displacement strategically fits with our ambition for the sustainable transformation of tomorrow,” said Eric Bretey, Director, Digital Displacement for Danfoss Power Solutions. “Digital Displacement technology provides us with a competitive advantage when it comes to developing innovative green products and systems and bringing these to market.”
Bretey added that “a core group of AIP Directors will now form part of our Digital Displacement leadership team, where their incredible experience and agile mindset will offer continuity to the business.”