WASHINGTON (dpa-AFX) - GE Vernova Inc. (GEV) announced on Tuesday that GE Vernova will acquire the remaining 50% stake of Prolec GE, its unconsolidated joint venture with Xignux.
Under the purchase agreement, GE Vernova will pay $5.275 billion at closing, expected to be funded equally between cash and debt. The acquisition is expected to close by mid-2026, subject to the completion of customary regulatory approvals.
The deal will accelerate GE Vernova's Electrification segment's growth trajectory by expanding its presence in and support for North America, where demand for grid technologies is rising rapidly.
This acquisition expands GE Vernova's capability to serve both North American and global customers, at a time when these markets are experiencing rapid electricity demand growth, driven in part by the growth of data centers and new policies implemented to expand the deployment of critical grid and electrification equipment.
'We're excited to execute this highly attractive and strategic move to acquire full ownership of our Prolec GE joint venture from Xignux, which accelerates GE Vernova's global strength in grid technologies,' said GE Vernova CEO Scott Strazik.
Prolec GE is a leading grid equipment supplier, producing transformers across most ratings and voltages with approximately 10,000 global employees across seven manufacturing sites globally, including five in the U.S. The joint venture was originally established between Xignux and General Electric (GE) in 1995, and this acquisition consolidates Prolec GE after 30 years of partnership.
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