Hitachi Energy Ltd has announced that Hitachi, Ltd has signed a share transfer agreement for the remaining 19.9 per cent shares from ABB Ltd, pursuant to the acquisition agreement signed on December 17, 2018.
This is in line with the plan and ahead of schedule. The transfer of shares will be completed by end of December 2022, subject to regulatory approvals, a release from Hitachi Energy said.
“We are pleased with the progress of Hitachi Energy and we look forward to supporting the Hitachi Energy 2030 Plan, as announced during Hitachi Investor Day 2022,” said Yoshihiko Kawamura, Executive Vice President and Executive Officer, CFO of Hitachi, Ltd., and the Chair of the Board of Hitachi Energy.
Hitachi Energy is making good progress with its portfolio offering that is strengthening, expanding, and evolving the power system supporting customers and partners across the entire lifecycle to enable a sustainable, flexible and secure energy system. The company is also well-positioned to accelerate the growing electrification of transportation, industry and building sectors with its long-term Hitachi Energy 2030 purpose-driven growth plan.
“We will accelerate the drive for synergies, digitalization and service and we will continue to offer deployment of both IT and operational technology (OT) at scale and with speed, as we are advancing a sustainable energy future for all,” said Claudio Facchin, Senior Vice President and Executive Officer of Hitachi and CEO of Hitachi Energy.
Digital solutions
Based on the combined knowledge of close to 250 years between Hitachi Energy and Hitachi, the business has also leveraged its energy platform in combination with digital solutions from Hitachi, and launched solutions like Lumada Asset Performance Management and, most recently, Lumada Inspection Insights.
Strengthening the power system with High Voltage Direct Current (HVDC) technology for bulk renewable integration and interconnections between countries and continents, as well as the launch of an eco-efficient EconiQ™ portfolio for high-voltage products, transformers, and consulting, are all initiatives that have contributed to the purpose-driven growth: advancing a sustainable energy future for all.
Also read: Hitachi Energy Inaugurates Transformer Components Factory
The agreement
On December 17, 2018 Hitachi decided to acquire the power grids business from ABB Ltd and has signed an agreement with ABB. Hitachi initially acquired an 80.1 per cent stake in the Power Grids business making Power Grids a consolidated subsidiary. Hitachi also entered into a purchase option to acquire the remaining 19.9 per cent stake in Power Grids, making Power Grids a wholly-owned subsidiary. The joint venture company was launched and began operation as Hitachi ABB Power Grids on July 1, 2020, and then announced the change of company name to Hitachi Energy on July 1, 2021.
