For the past three years, the Swedish major shareholders Cevian Capital and Investor AB, the ABB chief Ulrich spiesshofer in the ears. He should sell the electricity division, challenge.
Spiesshofer negotiating with Hitachi for the sale of the output weakest division of the group, told this newspaper three weeks ago. Yesterday, ABB has confirmed that negotiations with the Japanese to run the existing cooperation “to develop and define new”. Whether a Deal happens, is still uncertain.
Estimated value of 13 billion dollars
the FIG has founded four years ago with the Hitachi, a community company, is a 49 per cent share of the Junior partner: The headquarters is in Tokyo, the chief came from Hitachi. FIG benefits, because you can sell more than the well-networked Hitachi your Top in the area of high voltage cables in Japan, where for some time the electricity transmission network will be upgraded. Wants to Ulrich Spiesshofer just deepen the cooperation with Hitachi and widen, this is likely to provide major shareholders such as Cevian is hardly quiet. The business electricity grids with a gap of several percentage points, the lowest margin and profit before depreciation and amortisation (Ebitda) compared with the other three divisions of FIG.
A sale of the division, power systems Hitachi go far beyond co-operation, which is limited to Japan. ABB brings to the business in the community company with Hitachi, the question of financing. Industry experts of banks estimate the value of the electricity network division to 13 billion dollars. Negotiations with Hitachi have been hampered by concerns about whether the Japanese have access to enough capital to be able to such a billion deal to lift, reported the Financial Times. One possibility would be to bring the community company on the stock exchange, in order to obtain ABB as a part of the sale price. FIG would, however, significantly involved. The major shareholders should, therefore, be sold to the highest bidder pushing offer, so that FIG can invest up to 13 billion dollars in more profitable lines of business.
(editing Tamedia)
Created: 13.12.2018, 09:23 PM
