XL Hybrids Inc., a leader in connected fleet electrification solutions for commercial and municipal fleets, announced it has raised an oversubscribed Series D round of $22 million. Constellation Technology Ventures (CTV), the venture capital arm of Exelon Corp., and IKEA Group participated in the round along with new and existing large family office investors. The series brings XL Hybrids’ total funding to more than $50 million to date for the development, sale and distribution of fleet vehicle electrification solutions to major customers across North America.
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 more than 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 toward 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
- 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.”