GE to Acquire of Alstom's Hydropower Assets

The European Commission has approved American conglomerate GE’s plans to acquire certain assets of France-based Alstom, including hydropower

In addition, the U.S. Department of Justice has filed a proposed consent decree that would permit the acquisition to close. GE could complete the transaction early in the fourth quarter.

GE reached an agreement with Alstom in April 2014 to purchase Alstom’s power and grid businesses for €12.35 billion (US$13.91 billion). Adjusting for the joint ventures announced in June 2014 (renewables, grid and nuclear), changes in the deal structure, price adjustments for remedies and net cash at close, the purchase price is expected to be about €8.5 billion (US$9.5 billion). GE says this will be its largest-ever industrial acquisition.

“The more we learned about Alstom’s technology and capabilities over the last 15 months, the more we liked the deal,” says Jeff Immelt, GE chairman and chief executive officer. “It’s the right deal at the right time for GE.”

According to a press release, combining Alstom and GE’s power and grid technology and geography will result in about 1,500 GW of installed base power generation (a 50% increase in GE’s current installed base), improved total thermal power plant design capability, a broader grid portfolio, and more.

Read More Related Content On This Topic - Click Here

Attached link

Media

Taxonomy

• Technology
• Energy
• Hydropower