Former Aston Martin CEO Andy Palmer’s PETL acquires bus repowering specialist Kleandrive from administration

Palmer Energy Technology has acquired Kleandrive’s business and assets through administration, bringing the electric bus repowering specialist into its clean propulsion portfolio.

Palmer Energy Technology Limited (PETL) is a UK-based clean energy and battery technology group co-founded by former Aston Martin CEO Dr Andy Palmer. On June 2nd 2026 it has announced the completion of acquisition of Kleandrive’s business and assets as a going concern through administration. The transaction secures the continuation of Kleandrive’s operations in electric vehicle conversion and preserves a UK engineering capability focused on the decarbonisation of heavy-duty vehicles.

Kleandrive was launched in 2023 and entered partnerships with Voith and CATL. UK public transport operator First Bus had invested £1 million in Kleandrive, and trade agency electrive notes that the same First Bus “holds a lead investor position in PETL”.

Kleandrive repowering capability joins PETL portfolio

Kleandrive, based in Essex, specialises in converting diesel-powered buses to battery-electric operation. The company’s repowering approach enables fleet operators to retain existing vehicles while replacing conventional drivetrains with electric propulsion systems.

Under the acquisition, PETL takes control of Kleandrive’s business operations, assets and ongoing customer programmes. The company states that the transaction preserves specialist engineering expertise and maintains continuity for existing projects.

The acquisition adds a heavy-duty vehicle conversion capability to PETL’s activities. The group stresses that it already operates in battery technology and battery management systems through subsidiaries including Brill Power, an Oxford University spin-out focused on battery management technology.

PETL stated that the combined operation will encompass battery cell selection, battery management systems, powertrain integration, fleet deployment and aftermarket support.

Focus on bus electrification and retrofit applications

The acquired business has developed expertise in the conversion of legacy diesel buses to fully electric vehicles. PETL notes that the operation provides access to existing relationships with UK bus operators and ongoing deployment programmes.

The company also highlighted opportunities for applying the repowering model beyond buses. Future activities are expected to include coaches, heavy goods vehicles and specialist commercial vehicles, alongside existing bus conversion programmes.

Andy Palmer, Co-Founder and CEO of Palmer Energy Technology, said: “Britain keeps losing its industrial base one company at a time. I have spent years making the public argument that the UK cannot meet its decarbonisation targets or build a credible clean transport sector without homegrown businesses leading the way. This acquisition of Kleandrive’s business and assets as a going concern is a small but practical example of acting on that argument. Repowering existing diesel buses is one of the most cost-effective ways for operators to decarbonise their fleets. It deserves to be built here, by British engineers and we intend to make sure it is.”