ABB will acquire Siemens' low-voltage NEMA motor business

ABB expands its portfolio of low-voltage NEMA motors, further consolidating its leading position in this segment;

ABB delivers on its commitment to expand into new markets, drive profitable growth and expand market share;

Establish a manufacturing base in Mexico to support future growth;

The acquisition is expected to increase the profitability of ABB's motion control business within 24 months.

ABB today announced that it has signed an agreement to acquire Siemens' low-voltage NEMA motor business. The acquisition includes a highly regarded product portfolio, a long-standing customer base in North America, and an experienced operations, sales and management team with a manufacturing base in Guadalajara, Mexico. The business has approximately 600 employees and generated sales of approximately $63 million in 2021. Financial terms of the transaction were not disclosed. The transaction is expected to close in the second quarter of 2023.
ABB will acquire Siemens' low-voltage NEMA motor business

ABB will acquire Siemens' low-voltage NEMA motor business

ABB announced the acquisition of Siemens' low-voltage NEMA motor business

The acquisition is part of ABB's Motion Control business unit's profitable growth strategy and will help its NEMA Motor business unit enhance product offerings, expand supply chains and enhance customer support in North America, while also creating opportunities to better serve local customers in Mexico through local manufacturing and sales. ABB will benefit from the identified synergies and leverage its R&D expertise, supply chain relationships and market access to leverage the growth potential of the combined business.

Tarak Mehta, President of ABB's Motion Control Division, said: "This complementary acquisition will create significant value for ABBNEMA's Motors business unit. Investments and sales opportunities in North America, particularly in Mexico, will lead to profitable growth for ABB's motion control business over the next 24 months. "

Jesse Henson, Head of Motors Business Unit at ABB NEMA, said: "We have always admired the quality and design of their electric motor products, and the management team behind them gives me the confidence to work together to drive the business faster. We look forward to adding Siemens' low-voltage NEMA motor products to our existing ABB and Baldor-Reliance® industrial motor portfolios." "

The global NEMA motor industry is valued at approximately $2.7 billion and includes industrial motors, primarily in North America. NEMA motors are an integral part of equipment operation in a wide range of industries, including food and beverage, oil and gas, mining, and water and wastewater treatment, to drive gases, liquids, and objects.

ABB (ABBN: SIX Swiss Ex) is a global technology leader that transforms society and industry for a more efficient and sustainable future. ABB continues to push the boundaries of technology and improve performance by integrating smart technologies into electrical, robotics, automation, and motion control products and solutions through software. With more than 130 years of excellence, ABB operates in more than 100 countries and employs 105,000 people.

ABB will acquire Siemens' low-voltage NEMA motor business

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