Cummins Inc, a global power solutions leader, has announced a significant step in its decarbonization strategy with the acquisition of key assets from First Mode, a pioneering company specializing in retrofit hybrid solutions for mining and rail operations.

First Mode designed a two-megawatt hydrogen-fueled powerplant that was installed in this Anglo American haul truck at their platinum mine in Mogalakwena, South Africa, creating the world’s largest zero-emission vehicle. (First Mode Photo)First Mode filed for Chapter 11 bankruptcy on Sunday as the Seattle-based clean tech company continues to explore strategic alternatives after its majority shareholder stopped providing capital.GeekWire reported earlier this month that Anglo American, a global mining company which took ownership of First Mode last year in a $1.5 billion transaction, recently halted funding to First Mode. The company then explored a potential sale but was unable to find a buyer. Bankruptcy court documents show that First Mode initiated a Chapter 11 bankruptcy process with the support of Anglo American to help sell assets and wind down the business.First Mode has nearly $100 million in total liabilities and has reduced its workforce from 228 employees to 66 people over the past year, according to bankruptcy documents.The company has received a “stalking horse” bid as part of the bankruptcy process from Cummins, a global power company based in Indiana, documents show.It’s been a rocky year for First Mode, which launched in 2018 and aims to reduce carbon emissions for mining trucks and other heavyweight vehicles such as freight locomotives.Anglo American acquired a majority share of First Mode a year ago and planned to focus on converting heavy trucks to use First Mode’s zero-emission, hydrogen fuel-cell powertrain — starting with Anglo American’s fleet.But in January, First Mode said that it would put less emphasis on hydrogen-battery powertrains, shifting instead to hybrid diesel-battery powertrains. It also announced a workforce reduction in January of about 20% of its U.S.-based workforce. The company trimmed its workforce again in August

First Mode CEO Julian Soles speaks at the February opening of a Seattle factory. (First Mode Photo)First Mode, a Seattle-based clean tech company aiming to reduce carbon emissions for mining trucks and other heavyweight vehicles, is in asset acquisition talks after a decision by its majority shareholder to stop funding the business. Anglo American, a global mining company which took ownership of First Mode last year in a $1.5 billion transaction, recently halted funding to First Mode, according to a First Mode spokesperson. “As a result, First Mode engaged financial advisors to support the process of evaluating strategic alternatives, including the potential sale of the business to a new owner who could continue to support First Mode’s world-leading decarbonization innovations,” the company said in a statement to GeekWire.But First Mode was unable to reach an agreement for its entire business and is now engaged in talks with a bidder “who has expressed an interest in a significant part of the technology and team,” according to the company’s statement.The company did not disclose the identity of the bidder, details of the agreement, or impact to its workforce. It’s the latest chapter in a roller coaster past few years for First Mode.When Anglo American acquired a majority share of First Mode a year ago, the business plan focused on converting heavy trucks to use First Mode’s zero-emission, hydrogen fuel-cell powertrain — starting with Anglo American’s fleet.But in January, First Mode said that it would put less emphasis on hydrogen-battery powertrains and more emphasis on hybrid diesel-battery powertrains. At the time, First Mode CEO Julian Soles said the change in strategy provided a lower-cost, step-by-step path to reducing carbon emissions.It also announced a workforce reduction in January of about 20% of its U.S.-based workforce.The company then held a ribbon-cutting ceremony in February for a new 40,000 square-foot factory in Seattle to build powertrain conversion kits for mining trucks