Canadian Electrical Wholesaler

 Dec 18, 2018

CEW 24 CS ABB 400

Hitachi has finalized a deal with industrial giant ABB to purchase 80% of their Power Grids division for $6.4bn. The move marks a transition for Hitachi, which will look to expand its energy solutions offerings by combining ABB’s power grids business with their digital technology division.

ABB will retain 19.9% in the deal, which values the business at $11bn.

With the deal ABB will look to restructure to boost their overall performance after losing 25% in share prices over the past year. While for Hitachi, the move will increase their ability to compete with global industry leaders like General Electric and Siemens.

Hitachi acquires 100 manufacturing sites, 200 sales sites and 36,000 employees.

Cevian Capital, a 5% stakeholder in the power grids business, attempted to purchase Power Grids in 2016, at which time ABB sought to turn around the business internally.

ABB said the divestment to Hitachi expands on an existing partnership and will turn Power Grids into a global infrastructure leader “with enhanced access to markets and financing.”

"Hitachi will combine ABB’s strength in the power grids business with our digital technology to build an energy platform that contributes to innovation the energy business,” said Hitachi President and CEO Toshiaki Higashihara, adding, “This creates further innovation for business fields such as life and industry and helps us address society’s issues and improve quality of life.” 

ABB will also return 100% of the net profits, estimated a $7.6-7.8bn to its share holders through share buybacks, or a similar method. The deal is expected to close by the first half of 2020.

ABB reduces annual run-rate costs by $500m as a result of the deal.

“ABB has been driving industrial change for more than a century as a global pioneering technology leader. As a result of our Next Level strategy, all of our businesses are today number 1 or 2 in their respective markets. To support our customers in a world of unprecedented technological change and digitalization, we must focus, simplify and shape our business for leadership. Today’s actions will create a new ABB, a leader focused in digital industries,” said ABB CEO, Ulrich Spiesshofer.

ABB will simplify its organizational structure to facilitate its four leading businesses, focusing responsibilities and increasing efficiencies.

The four business are: Electrification, Industrial Automation, Robotics & Discrete Automation and Motion. Each business will be top global leaders in their respective market. ABB’s established domain know-how, world-class engineering and technology expertise, will position the four businesses well to deliver innovative products and solutions for enhanced customer value. ABB’s addressable market is growing by 3.5-4 percent per annum, adding $140 billion in size to reach $550 billion by 2025.

“Today's announcement marks the beginning of a new chapter in ABB's history. Building on our technology and global talented employee base we will further strengthen our focus in digital industries,” said ABB Chairman, Peter Voser.

Source:

https://new.abb.com/news/detail/12473/abb-shaping-a-leader-focused-in-digital-industries

https://www.hitachi.com/New/cnews/month/2018/12/f_181217.pdf

 

Westburne WOWLed by Divisional Lighting Manager Salma Siddiqui, the initiative will focus on making Westburne the workplace of choice in the electrical industry and beyond.

Results from research conducted by Westburne found that the electrical industry has a ratio of 6:1 of male vs. female employees. “Realizing these stats are the industry norm has made our eyes open and realize we need to make a change and showcase our women who work for us and at the same time make Westburne the place women would love to work for,” the company says.



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Westburne and RockwellThe Authorized Service Provider designation enables Westburne to deliver Rockwell Automation services through their factory trained team of specialists. These services include installed base evaluation, network assessment, arc flash assessment, lockout/tag-out assessment, and start-up of variable frequency drives.

According to Steve Roy, Regional Sales Manager for Rockwell Automation Canada, “Customer expectations continue to evolve. Aging infrastructure, workforce gaps, global competition and an explosion of new technology provide endless opportunities for customers to improve their businesses.

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IdeaIDEA plans to introduce an online learning management tool, the IDEA Learning Portal, to train customers on the new IDEA Connector, which will launch in late September. This portal will contain comprehensive training information and documentation on the IDEA Connector, a master data management (MDM) platform that enables distributors to securely access accurate and timely product and pricing data directly from manufacturers.

To complement the portal, there will be four training session devoted to manufacturers and distributors at eBiz. These training sessions will dive deeper into specific content to ensure a complete understanding of important functionality.

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EHRC WLNElectricity Human Resources Canada is delighted to have announced its new partnership with Women Leadership Nation™ (WLN) on International Women’s Day.

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ABB Showcases Its Vision of Leadership in Digital Industries at ABB Customer World 2019

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Leaders and innovators from business, government and the education sector gathered for this ABB premier collaboration event. More than 11,000 delegates attended the bi-annual ABB Customer World Houston 2019 from March 4 to 7 in Houston, Texas. ABB’s latest pioneering technologies were displayed over 150,000 sq ft of a colourful, buzzy display of futuristic conveyor belts and robots, an ABB Formula E Generation 2 car, and much more groundbreaking technology.

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National ManufacturingExcellence in Manufacturing Consortium EMC’s Advantage through Excellence: Future of Manufacturing Conference is a 2½ day event exploring the competitive advantages, opportunities and successes that can be achieved by manufacturers through a variety of learning forums — up to 40 workshops, panel sessions, keynote presentations and best practice plant tours — providing delegates with outstanding opportunities for benchmarking, peer networking, learning and sharing of hundreds of best practices. An estimated 500 to 900 manufacturing leaders and stakeholders from across Canada are expected to attend. 

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