GE buys France's Converteam

29th March 2011, Comments 0 comments

US giant conglomerate GE said Tuesday it was acquiring French group Converteam, which specialises in electrification and automation equipment, for $3.2 billion (2.27 billion euros).

GE said in a statement that its energy division would acquire 90 percent of Converteam under a deal to be completed this year, with the remainder of the shares to be bought from management over the next two to five years for not more than $480 million.

The acquisition will allow GE to bolster its offerings for clients in the gas, oil and electric energy sectors, along with solar, mines and metals.

GE said the market for Converteam's products was worth some $30 billion in 2010 and was growing faster than the global economy.

Converteam has some 5,300 workers and is present in 80 countries. Last year, its sales came to $1.5 billion, with orders up 36 percent compared with 2009.

© 2011 AFP

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