ABB to acquire power electronics business of Gamesa Electric in Spain
20 Dec 2024
Electrical and instrumentation major ABB has agreed to acquire the power electronics business of Gamesa Electric in Spain. ABB did not disclose the financial implications of the deal.
ABB said it has signed an agreement towards this with Siemens Gamesa, adding that the acquisition complements ABB’s renewable power conversion portfolio.
The share of renewable energy is estimated to grow to around half of the world’s total power generation by 2030 and the acquisition will strengthen ABB’s position in the business of renewable power conversion technology for high power projects and thereby increase its market share in the expanding market for modernisation and servicing of renewable assets, according to a company release.
The acquisition will expand ABB’s power conversion product and service portfolio and engineering assets, giving a boost to profitable growth strategy, it added.
ABB expects the transaction to close in the second half of next year, subject to regulatory approvals and customary closing conditions.
Gamesa’s power conversion products include Doubly-fed induction generator (DFIG) wind converters, industrial battery energy storage system (BESS) and inverters for large solar power projects.
Gamesa operates two convertor plants in Spain located in Madrid and Valencia, with a total workforce of around 400 people. Besides, the company owns key resources in some of the key markets like India, China, United States and Australia.
Gamesa Electric’s power electronics business reported revenues of around 170 million euros for the fiscal year ended 30 September 2024.
