Indianapolis-based Allison Transmission Inc. has partnered with two other auto suppliers to develop and produce a new line of high-efficiency transmissions, the companies announced Thursday morning.

The "next-generation" transmissions developed by Allison, Dana Holding Corp. and Fallbrook Technologies Inc. will be expected to increase fuel efficiency, reduce emissions and improve overall vehicle performance.

The agreement calls for Fallbrook's NuVinci CVP technology to be licensed to Allison and Dana. The technology enables designers to reduce complexity of transmissions, superchargers, and other powertrain systems, allowing engines to operate at more efficient speeds.

As part of the deal, Allison acquired an undisclosed, non-controlling equity stake in privately owned Fallbrook., which is headquartered in San Diego, Calif.

During a Thursday morning teleconference, Allison CEO Lawrence Dewey declined to discuss the company’s total investment in the NuVinci CVP technology or the potential financial impact of the agreement.

“As we get to stages where it makes sense, we’ll be disclosing that,” Dewey said.

Through its licensing agreement, Allison will have the exclusive right to use the CVP technology in primary drivetrain transmissions for customers producing commercial, military, off-road and other vehicles and equipment.

Maumee, Ohio-based Dana Holding Corp.'s separate but related agreement with Fallbrook will allow it to engineer and produce NuVinci transmission parts.

Allison and Dana also signed a letter of intent to set up a partnership in which Dana would produce parts for Allison’s NuVinci transmissions.

Allison shares fell 12 cents in early trading Thursday, to $19.30 each. The stock has risen 10 percent since the beginning of September.

Dana's shares fell 11 cents, to $13.81.