ABB signed an agreement to purchase Siemens’ low-voltage NEMA motor business.
With manufacturing operations in Guadalajara, Mexico, ABB says the Siemens business employs about 600 people and generated revenues of about $63 million in 2021. The deal, whose financial terms were not disclosed, is expected to close in the second quarter of 2023.
“This bolt-on acquisition creates strong value for ABB’s NEMA motors division,” says Tarak Mehta, president of ABB Motion. “Investing in the business and opening up sales opportunities in North America and, especially Mexico, will allow this business to be margin accretive to the ABB Motion business within 24 months.”
Jesse Henson, president of ABB’s NEMA motors division, says ABB has long appreciated the quality and design of Siemens’ low-voltage NEMA motors.
“Now that we have met the leadership team behind them, I am even more confident that together we can grow our combined businesses faster than either of us could alone,” Henson says.
