Cummins Inc. (NYSE: CMI) today announced it has acquired Johnson Matthey Battery Systems, a world leader in advanced lithium-ion battery systems for the automotive industry.

Johnson Matthey has over 30 years’ experience in designing, developing and manufacturing high performance battery systems, and has supplied battery systems to a number of global automakers. The company has approximately 500 employees across sites in the UK, US, Japan and Korea.

The acquisition will enable Cummins to accelerate the development of its electrification business and provide a complete powertrain solution for its global customers. It also provides an excellent platform to expand Cummins’ presence in the high-growth electrified vehicle market.

“The electrification of vehicles is a key part of Cummins’ strategy to provide our customers with the power they need, when they need it,” said Tom Linebarger, Chairman and CEO of Cummins. “The combination of Cummins’ and Johnson Matthey’s complementary strengths will enable us to provide industry-leading electrified powertrain solutions for our customers around the world.”

“We are delighted to be joining Cummins,” said Robert Johnson, CEO of Johnson Matthey Battery Systems. “Cummins is a global leader in supplying power solutions and our combined expertise will allow us to provide customers with even more innovative and efficient battery systems.”

The acquisition is expected to be completed by the end of 2018, subject to customary closing conditions.