50% Off! Beat the market in 2025 with InvestingProCLAIM SALE

ABB rebrands turbocharging business "Accelleron", decision expected in Q1

Published 02/15/2022, 03:28 AM
Updated 02/15/2022, 03:30 AM
© Reuters. FILE PHOTO: The logo of Hitachi ABB is seen at an office building in Zurich, Switzerland September 10, 2020. REUTERS/Arnd Wiegmann
RBC
-

ZURICH (Reuters) - Swiss automation group ABB on Tuesday rebranded its turbocharging business "Accelleron" and said it expected to make the final decision on whether to sell or spin it off towards the end of the first quarter.

"Whichever path is chosen by ABB to separate the business, this process should be completed in the first half of 2022", the group said in a statement.

The separation of the business, which competes with Britain's Napier, part of Wabtec, Germany's KBB and Japan's Mitsubishi Heavy Industries, is part of ABB Chief Executive Bjorn Rosengren's plan to focus the portfolio on electrification and automation.

The turbocharging business employs over 2,300 people and had around $750 million in sales during 2021.

ABB did not give any figures on profitability, but has said previously that the business has an "attractive" profit margin.

Rosengren said two weeks ago a spinoff onto the SIX Swiss Exchange during the second quarter of this year was the most likely outcome.

© Reuters. FILE PHOTO: The logo of Hitachi ABB is seen at an office building in Zurich, Switzerland September 10, 2020. REUTERS/Arnd Wiegmann

ABB has already sold its power transmission unit Dodge for $2.9 billion to RBC Bearings (NASDAQ:ROLL) as part of the overhaul.

It has also touted its E-Mobility electric charging business, which it is seeking to float on the SIX Swiss Exchange later this year.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.