Germany-based conglomerate Siemens has agreed to acquire Massachusetts-based Russelectric, a power control systems manufacturer.
Image: Siemens to acquire Russelectric for an undisclosed amount. Photo: Courtesy of etaphop photo/FreeDigitalPhotos.net.
Siemens did not disclose the financial terms related to the acquisition. Russelectric produces paralleling switchgear and automatic transfer switches.
The acquisition is expected to bring the complementary electrical power portfolios and service organizations of the two companies, to cover critical markets including data centers, public infrastructure, and healthcare address the growing need to improve power reliability, security and affordability.
Currently, Russelectric employs nearly 400 people across its headquarters and manufacturing facility in Hingham, Massachusetts and manufacturing and training hub in Broken Arrow, Oklahoma.
At its manufacturing facilities in Massachusetts and Oklahoma, the company designs and builds a full line of automatic transfer switches, switchgear, and controls.
The acquisition is expected to enhance Siemens’ existing US footprint with more than 50 manufacturing, R&D and digital hubs and its workforce of 50,000.
Siemens Industry low voltage distribution business unit vice president Barry Powell said: “As the energy landscape continues to shift, the successful operation of critical facilities more than ever requires reliable, affordable and sustainable power.
“With this acquisition, we bring together Siemens’ expertise and experience in the low voltage power market with Russelectric’s complementary high-quality energy infrastructure portfolio to provide technologies that ensure these critical installations receive uninterrupted, secure power.”
After the transaction is completed, Siemens will wholly-own Russelectric and will operate as ‘Russelectric, A Siemens Business.’
The transaction is subject to regulatory approval and other customary closing conditions. It is expected to be closed later this year or early next year.
Siemens Low Voltage & Products Global CEO Andreas Matthé said: “This investment signifies our global commitment to the US power infrastructure market and the technologies that place a premium on safe, reliable and affordable access to electrical energy.
“These two organizations bring complementary portfolios to critical power infrastructures that continue to evolve at a rapid pace, and together, the companies can create additional value for customers through an experienced workforce, extensive domain knowledge and complementary sales approach.”