Seal Beach, CA-based Clean Energy Fuels Corp. said Friday it has agreed to acquire Dallas, TX-based BAF Technologies Inc., a U.S. provider of natural gas vehicle systems and conversions. Clean Energy is a supplier of natural gas and gas-related infrastructure to the transportation sector — both compressed natural gas (CNG) and liquefied natural gas (LNG).

Founded by oilman turned alternative energy advocate T. Boone Pickens, Clean Energy said the cash purchase price is approximately $8.3 million and the deal will close “upon each party meeting certain closing conditions.” The purchase amount will be used in part to pay off BAF’s outstanding debt, the company said.

Since a finance unit of Clean Energy holds about $3.8 million of BAF’s outstanding debt, the net purchase price will amount to about $4.5 million, Clean Energy said. BAF shares have been trading at $14-16 this year.

Founded in 1992, BAF provides natural gas vehicle (NGV) conversions, alternative fuel systems, application engineering, service and warranty support, as well as research/development. Its vehicle conversions have included taxis, limousines, vans, pick-up trucks and shuttle buses. The company has certified NGVs under both the U.S. Environmental Protection Agency and California Air Resources Board standards.

BAF-converted vehicles are designated as Super Ultra Low Emission Vehicles (SULEV). BAF holds a purchase order for 600 Ford E-Series converted CNG vans from AT&T, which last March said it would deploy more than 15,000 alternative-fuel vehicles in its fleet during the next five years (see Daily GPI, March 16).

BAF products are already going into several of Clean Energy’s target markets, Clean Energy CEO Andrew Littlefair said.

“This action will give confidence to potential fleet customers in the light-duty area who are considering transitioning their fleets to natural gas,” Littlefair said. “BAF will provide a significant resource for light-duty vehicle conversions as well as the ability to work with automakers to develop additional U.S. products.”

Littlefair said U.S. automakers have been “remiss” in not making more NGVs available in the United States. “We believe that automakers will ultimately produce NGVs for the U.S. market,” he said.

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