Allison Transmission to acquire Dana Off-Highway business

Allison Transmission Holdings Inc. announced it has entered into a definitive agreement to acquire the Off-Highway business of Dana Inc. for approximately $2.7 billion. The acquisition was approved by both companies’ Boards of Directors, and is expected to close late in the fourth quarter of 2025, pending customary regulatory approvals.

Dana Inc. announced in late November 2024 that it planned to sell its Off-Highway business, which consists of a global network of manufacturing facilities and technical centers, operating in more than 25 countries with approximately 11,000 employees. Its powertrain solutions encompass axles, propulsion solutions and drivetrain components for applications in construction, forestry, agriculture, specialty, aftermarket, industrial and mining segments.

In addition, the business specializes in hybrid and electric drive systems tailored to customer needs.

“Dana’s off-highway business has long been committed to delivering innovative solutions for off-highway applications,” said R. Bruce McDonald, Dana Chair and CEO, “and we are confident that under Allison’s ownership, the team will be well-positioned to continue that legacy. This agreement represents a strategic opportunity to ensure the ongoing success of the business, while allowing Dana to focus on our core priorities. We look forward to seeing the off-highway business thrive under Allison’s leadership.”

According to Allison, the acquisition aligns with its strategic priorities to expand its emerging markets footprint, enhance core technologies and deliver strong financial results. Upon completion of the transaction, the combined company will be able to offer a wider range of commercial-duty powertrain and industrial solutions to more customers and end users worldwide.

“This acquisition marks a transformative milestone in our commitment to empowering our current and future customers with propulsion and drivetrain solutions that Improve the Way the World Works,” said David Graziosi, Allison Transmission Chair and CEO. “We look forward to harnessing this momentum to increase value for all of our stakeholders worldwide.”

Upon completion of the transaction, the company will utilize its expanded global presence and technical expertise to realize new growth opportunities and develop differentiated solutions that meet customers’ evolving wants and needs, the announcement stated.

Allison added that it will deploy a transition and integration process across the business that continues to support customers, employees, suppliers and partners.