GE nabs Lineage Power to offer power conversion devices
"GE values the Lineage Power employees who will be joining us as part of this acquisition. Their expertise was an important factor in the decision to acquire this business," said Luis Manuel Ramírez, president and CEO, GE Energy, in a statement.
"We look forward to building upon our foundation of technology leadership and strong, long-term customer relationships with GE," said Craig Witsoe, president of Lineage Power.
GE expects collaboration between the research and development teams to address joint opportunities in the battery, datacenter, electric vehicle and renewable energy segments.
Lineage Power (Plano, Texas) had revenues of approximately $450 million in 2010, and has nearly 2,300 employees, with manufacturing operations in China, Mexico and India. Lineage Power traces its innovation to Bell Labs and Western Electric via acquisitions that involved such companies as Tyco and Lucent Technologies, the outgrowth of Bell Labs.
GE’s $40 billion energy portfolio is expanding with this acquisition as well as with last month’s acquisition of Dresser Inc., a Dallas-based energy infrastructure company.
Lineage Power conversion solutions for cloud computing and mobile Internet infrastructure include ac/dc power supplies, dc/dc circuit board mounted power modules, telecom energy systems, dc datacenters and custom power products.
In January General Electric Co. agreed to buy Lineage Power Holdings Inc. for $520 million to tap demand for electricity management from a surge in mobile computing. At that time GE’s proposed purchase priced Lineage at eight times its market valuation including net debt.
Overall, GE has spent about $5 billion in the past year on purchases tied to the company’s Energy Services business, including two Chinese joint ventures and Remote Energy Monitoring Ltd. in the U.K.