ABB announced the acquisition of GE Industrial Solutions, GE’s global electrification solutions business, for $2.6 billion. Based in Atlanta, Ga., GE Industrial Solutions has customer relationships in more than 100 countries and an established installed base with strong roots in North America, ABB’s biggest market. As part of the transaction, ABB and GE have agreed to establish a long-term, strategic supply relationship for GE Industrial Solutions products and ABB products that GE sources today. GE Industrial Solutions has approximately 13,500 employees.
GE Industrial Solutions will be integrated into ABB’s Electrification Products (EP) division, resulting in a unique portfolio and comprehensive offering for North American and global customers. Included in the acquisition is a long-term right to use the GE brand. ABB will retain GE Industrial Solutions’ management team. The EP division offers a comprehensive portfolio of low- and medium-voltage products and solutions for a smarter, more reliable flow of electricity from substation to socket. The transaction is expected to close in the first quarter of 2018.