Daimler Truck Holding is currently on the lookout for a financial partner for its subsidiary, Torc Robotics, which specializes in self-driving technology. The aim is to secure additional funds to support the unit’s significant investment requirements, as reported by Bloomberg. Sources familiar with the situation revealed that the German truck manufacturer has enlisted the help of Bank of America Corp to explore potential investors interested in acquiring a minority share in the self-driving unit.
The primary goal of this initiative is to raise capital to cover Torc Robotics’ estimated €600m ($660m) in annual expenses. Torc Robotics, headquartered in Virginia, US, focuses on developing level 4 autonomous driving technologies tailored for heavy-duty trucks. Daimler Truck retains around 91% ownership of Torc, with the founders holding the remaining stake.
While discussions regarding the partnership are still in the early stages, the exact proportion of the stake to be sold has not been finalized. A spokesperson for Daimler Truck mentioned, “In general, Daimler Truck is prepared to consider new investors if they can offer meaningful value to our autonomous driving initiatives and support the company’s growth.” Both Daimler Truck and Bank of America declined to provide further comments on the matter.
Daimler Truck acquired Torc in 2019, playing a vital role in Daimler’s strategy to introduce autonomous freight transportation to the market. The company is currently running pilot programs in the US and expanding its engineering team in preparation for a broader rollout.
In July, Daimler Truck announced a partnership with the Senegalese government and Global Truck Systems (GTS) to establish a truck assembly facility in Senegal by 2026. Additionally, Daimler Truck, along with other truck manufacturers, initiated legal action against the state of California to block the enforcement of stringent emissions standards that were previously invalidated by former US President Donald Trump.
The search for a financial partner for Torc Robotics underscores Daimler Truck’s commitment to advancing autonomous driving technology and expanding its presence in the global automotive industry. By securing additional funding, the company aims to accelerate the development and deployment of cutting-edge self-driving solutions for the transportation sector.
