ABB selling part of its oil, gas and petrochemical division

Zurich, Switzerland—ABB recently agreed to sell the upstream part of its oil, gas and petrochemicals division to a newly incorporated company formed by a private equity investors consortium, including Candover Partners Ltd, 3i and J.P. Morgan Partners.

01/26/2004


Zurich, Switzerland— ABB recently agreed to sell the upstream part of its oil, gas and petrochemicals division to a newly incorporated company formed by a private equity investors’ consortium, including Candover Partners Ltd, 3i and J.P. Morgan Partners. ABB expects to record a small capital gain on the initial sale price of $925 million. The agreement also includes a potential deferred consideration of an additional amount of up to $50 million.

“This divestment agreement marks a further, decisive step to increase the focus on our core businesses and to finalize our divestment program,” says Peter Voser, ABB’s chief financial officer.

A preliminary agreement on the deal was announced in late October 2003. This divestiture is subject to the customary regulatory approvals and closing conditions, and also depends on the satisfactory completion and disposition of some compliance matters presently being reviewed. The closing is expected in mid-2004.

ABB is selling its U.S.-based Vetco Gray unit and its ABB Offshore Systems business, headquartered in Norway. These upstream businesses are active in more than 30 countries and employ some 7,500 people, mostly in Brazil, Canada, Norway, Singapore, the U.K. and the U.S. The two businesses had total revenues of $1.7 billion in 2002.

Not included in the current latest sale is ABB Lummus Global, which is mainly a downstream business. ABB adds that it’s negotiating with several other parties that may purchase Lummus Global. The company also expects to complete that sale in 2004.

Control Engineering Daily News Desk
Jim Montague, news editor
jmontague@reedbusiness.com





No comments
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by...
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
Motor specification guidelines; Understanding multivariable control; Improving a safety instrumented system; 2017 Engineers' Choice Award Winners
Selecting the best controller from several viewpoints; System integrator advice for the IIoT; TSN and real-time Ethernet; Questions to ask when selecting a VFD; Action items for an aging PLC/DCS
Robot advances in connectivity, collaboration, and programming; Advanced process control; Industrial wireless developments; Multiplatform system integration
Motion control advances and solutions can help with machine control, automated control on assembly lines, integration of robotics and automation, and machine safety.
This article collection contains several articles on the Industrial Internet of Things (IIoT) and how it is transforming manufacturing.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Future of oil and gas projects; Reservoir models; The importance of SCADA to oil and gas
Big Data and bigger solutions; Tablet technologies; SCADA developments
SCADA at the junction, Managing risk through maintenance, Moving at the speed of data
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
click me