ABB has agreed to acquire Ventyx, a software provider to global energy, utility, communications and other asset-intensive businesses, for more than $1bn from Vista Equity Partners.

ABB will combine its related network management business within the power systems division, with Ventyx to form a single unit for energy management software platforms.

By providing ABB with broader access to the utility enterprise management market, the acquisition triples the energy management software market available to ABB, the company said.

Joe Hogan, CEO of ABB, said: “The big advantage for energy companies, utilities and industrial customers is that they will now have a single supplier of enterprise-wide information technology platforms and power automation systems.

“The advantage for our shareholders is a cash-generating acquisition in an exciting growth market, with a strong management team, a highly complementary offering and geographic scope, and an attractive return on capital employed.”

ABB said that the acquisition is in line with its strategy to pursue growth opportunities that complement its product, technology and geographical portfolio. It is subject to customary regulatory approvals and ABB expects the transaction to be completed in the second quarter.

Vince Burkett, CEO of Ventyx, said: “Combining Ventyx’s leading software suite with ABB’s systems and unparalleled domain knowledge of the power industry will create a business that is ideally placed to offer solutions that will help to meet the challenges of rapidly evolving energy networks.”