XL Hybrids, Inc. has raised an oversubscribed Series D round of $22 million in venture capital funding to expand its sale and distribution of fleet vehicle electrification solutions to major customers across North America.
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 over $50 million to date.
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.
"Electric vehicles are an increasingly viable option for customers to meet sustainability goals and manage operating fuel costs," said Scott Dupcak, manager with CTV. "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."
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.
"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," said Krister Mattsson, IKEA Group's head of financial asset management. "Through the investment in XL Hybrids, we want to enable the company to become a leading provider of electrification solutions for commercial vehicle fleets."
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 and Electric, DTE Energy, and Harvard University; and the first-ever Ford Electrification Qualified Vehicle Modifier (eQVM).