Allison Transmission Acquiring Dana Off-Highway Business

Allison already has a strong presence in the on- and off-highway equipment industry, but this acquisition will help to further enhance the solutions it can provide customers in sectors off-highway sectors like construction, agriculture and mining. Per the company's press release announcing the acquisition, its purchase of Dana's off-highway business aligns with strategies aimed at expanding its footprint in emerging markets and enhancing its core technologies.

Both companies offer a mix of traditional powertrain solutions, such as axles and driveshafts — which often utilize fluid power technology — and those for hybrid- and electric-powered vehicles.

Bringing Dana's drivetrain and propulsion technologies into its portfolio will enable Allison to expand its global presence as well as technical expertise. It intends to use this to create new growth opportunities and solutions which meet ever-evolving customer requirements in the mobile equipment market. 

Allison noted a number of reasons it made the acquisition in an investor call which include:

• broadened customer base
• expanded global leadership and end-market expertise
• enlarged R&D, engineering and manufacturing footprint outside North America 
• opening of adjacent, diverse and attractive end-markets, and
• inclusion of mature alternative propulsion technologies in portfolio for early adopting markets.

The acquisition is expected to close in the fourth quarter of 2025.