Zurich, Switzerland, June 17, 1998 - ABB, the international electrical engineering company, announced today it has signed an agreement with Alfa Laval of Sweden, to acquire its Alfa Laval Automation unit. With annual revenues of about US$ 150 million, Alfa Laval Automation is one of Europe's five largest suppliers of process control systems and automation equipment. The Sweden-based unit employs 1,200 people in 14 countries. The acquisition is subject to approval of regulatory authorities.
The acquisition complements ABB's current position as a leading global supplier of process control and automation products, systems and services to a wide range of industries, including metals, chemicals, pulp and paper, oil and gas, and power. Process control and automation technology allows ABB's customers to monitor and control complex industrial processes - including supply, production, quality control, delivery and administration resulting in higher productivity as well as supporting environmentally friendly solutions.
"Alfa Laval Automation's strength in the pharmaceutical and food sectors allows us to significantly broaden our scope in this important business," said Göran Lindahl, ABB's President and CEO. Sigge Haraldsson, CEO of Alfa Laval, said the sale "is part of our objective to concentrate on our core businesses while providing our automation business with the opportunity to grow through ABB's global resources."
The acquisition will be part of ABB's Industrial and Building Systems segment, with 1997 orders received of over US$ 16 billion and about 97,000 employees. The ABB Group employs approximately 213,000 people with orders in 1997 of about US$ 35 billion. (End)