The company expanded heavily in the early 1900s, and started producing steam engines and water turbines for hydraulic power plants. In 1907, a very fruitful co-operation with the Stockholm-based engineering company "Fritz Egnell" began, with a one-cylinder 3 hp compression ignition engine. The engine was simply named "B1" - but a five-man committee was set to find a name that would catch on. The committee failed to agree on a catchy name, but because it had five members, settled for "Penta".