ZURICH, Switzerland - ABB, the leading power and automation technology group, announced it has signed an agreement to divest the ABB Full Service business for an undisclosed amount. The sale is expected to close in the fourth quarter of 2014, subject to regulatory approval.
The ABB Full Service business provides fully outsourced industrial maintenance services. ABB Full Service was developed as an adjacent business to ABB's life-cycle service business and has become a successful stand-alone business unit. ABB is divesting this business because of limited synergies with ABB's core portfolio. ABB will continue to supply its standard life-cycle services for the company's installed base.
"The divestment is fully in line with our strategy to continuously optimize our portfolio. With the agreed sale of our Full Service activities we now have found a new home for five businesses in eleven months that have no substantial synergies with the rest of our portfolio, raising about $ 1 billion," said ABB CEO, Ulrich Spiesshofer. "The Full Service business will be able to develop further under the ownership of Nordic Capital to the benefit of its customers and employees."
"We are very excited to work together with the Full Service management team to invest in further accelerated growth and development of the Full Service business. There is a clear value in establishing an independent business, fully focused on developing its customer offering and thereby solidifying its position as a global leader in the growing market for industrialized maintenance. We are very impressed by the Full Service business and the competence and commitment of the employees," said John Hedberg, Principal, NC Advisory AB, advisor to the Nordic Capital Funds.