Rolls-Royce completes sale of gas engines business, new owner aims to expand microgrid business

Rolls-Royce has completed the sale of its Bergen Engines business to Langley Holdings. The sale was initially announced on 3 August 2021.
Bergen Engines joins Piller Power System and Marelli Motori groups in Langley’s £600 million power solutions business, which the company says are aimed at the the “rapidly emerging” microgrid sector.
The Bergen Engines business provides gas engines typically rated between 1MW and 10MW. Ground-based engines are used for peaking power generation, combined heat and power (CHP) and onsite power, while a second business provides marine engines. In 2020, Bergen Engines generated revenues of approximately €200 million.
Langley Holdings Chairman & chief executive Tony Langley said, “The acquisition of Bergen Engines is a major step towards our net zero objectives. The company has a superb reputation and is proving to be highly innovative in adapting its engines to low-carbon and non-fossil fuels. Coupled with that, the emerging microgrid sector fits perfectly to our long-term sustainability goals.”
Bergen Engines said in May 2021, “To cater for stricter emission regulations and future changes in fuel supply, while also avoiding stranded assets, we believe it must be necessary to convert gas engines to green fuels at a later stage.”
It has tested gas engines with fuel gases containing up to 60% hydrogen and under Rolls-Royce it was aiming to have a commercial retrofit solution that will accept a hydrogen content of up to 60%, and that can be developed to accept 100% for new engines. It was also “exploring several pathways towards ammonia-fueled engines”.
Rolls-Royce said it would use sale proceeds of €91 million from the transaction, together with €16 million of cash held within Bergen Engines and retained by Rolls-Royce, to help rebuild the Rolls-Royce balance sheet in support of our medium-term ambition to return to an investment grade credit profile.