Ericsson Sells Its Energy Systems Business to Emerson Electric.Business Editors
STOCKHOLM, Sweden--(BUSINESS WIRE)--Jan. 18, 2000
Ericsson announced today that it has agreed to sell its Energy Systems business to Emerson Electric Co., of St. Louis, Missouri, USA. Under the terms of the transaction, which is expected to close in the second quarter this year, Emerson will pay approximately USD USD
In currencies, this is the abbreviation for the U.S. Dollar.
The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 725 million in cash. This is in line with Ericsson's strategy to focus on mobility and Internet communications.
The Energy Systems business, headquartered in Stockholm, employs about 2,200 people globally, with activities in some 20 countries, mainly in Europe, Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. and Asia, and has products installed in more than 100 countries. The sale includes all Energy Systems activities except those regarding DC/DC power modules, which will join Ericsson Microelectronics microelectronics, branch of electronic technology devoted to the design and development of extremely small electronic devices that consume very little electric power. . Expected 1999 revenues for Energy Systems are about $500 million.
"Ericsson's sale of its Energy Systems operations is in line with the company's overall strategy, to focus on the convergence of mobility and Internet communications," said Kurt Hellstrom, president of Ericsson. "Energy Systems is a good profitable operation and has been an important provider of power to Ericsson's telecom equipment for more than 100 years and will continue as an even stronger energy systems partner with Ericsson the years to come."
"Being a part of Emerson Electric, Energy Systems will be able to expand its product portfolio and reach new markets, thus strengthening its leadership in energy systems for telecom applications," said Sigrun Hjelmquist, president of Ericsson Components Group. "I am convinced that we have found the very best partner for Energy Systems. Together with Emerson's resources a new dominant player for energy systems to the New Telecoms World can be created."
Energy Systems designs, manufactures and markets power supplies and power systems for radio base stations for mobile telephony Meaning "sound over distance," it refers to electronically transmitting the human voice. In the beginning, telephony dealt only with analog signals in the circuit-switched networks of the telephone companies. , telecom switching equipment and other telecom facilities. In addition the company provides climate control and energy management solutions as well as site-monitoring services to maintain power at telecom sites.
"We are very pleased to become a part of Emerson Electric," stated Rolf Pettersson, president of Ericsson Energy Systems. "Their leadership and focus will ensure the success of the business for our customers and our employees."
Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Emerson, Charles F. Knight Charles F. Knight is chairman emeritus of Emerson Electric Co., a manufacturer of electrical, electromechanical and electronic products and systems. He served as chairman of Emerson Electric from 1974 to 2004 and as chief executive officer from 1973 to 2000. said: "Today's acquisition accelerates our efforts to reposition Emerson in fast-growing markets, such as telecom equipment. With the addition of Ericsson Energy Systems, Emerson will be uniquely positioned to take full advantage of the enormous global demand. It expands our presence in key world markets, our role in wireless telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. power and our role as a solutions and service provider."
Ericsson is the leading provider in the new telecoms world, with communications solutions that combine telecom and datacom technologies with freedom of mobility for the user. With more than 100,000 employees in 140 countries, Ericsson simplifies communications for its customers network operators, service providers, enterprises and consumers - the world over.
Please visit Ericsson's Press Room at: http://www.ericsson.se/pressroom
Emerson Electric Co. (NYSE NYSE
See: New York Stock Exchange : EMR (ElectroMagnetic Radiation) The emanation of energy from everything in the universe. Although the EMR from electrical and electronic devices is typically measured for practical, every-day situations, every object, including humans, emanates energy. ) is a global manufacturer with market and technology leadership in five business segments: process control; industrial automation; electronics and telecommunications; heating, ventilation and air conditioning air conditioning, mechanical process for controlling the humidity, temperature, cleanliness, and circulation of air in buildings and rooms. Indoor air is conditioned and regulated to maintain the temperature-humidity ratio that is most comfortable and healthful. ; and appliance and tools. With 128,000 employees the fiscal 1999 sales totaled $14.3 billion. As part of Emerson we have the ASTEC ASTEC Australian Science and Technology Council
ASTEC Applied Software Technology
ASTEC Analysis of the Scientific and Technical Evaluation (European Union)
ASTEC Advanced Satellite Technology and EHF Communications group, Advanced Power Systems (formerly Nortel) and a few others. Around 10% of the current revenues comes from products in the energy and power segment. Together with Ericsson Energy Systems, Emerson will be a world leader in the field of telecom energy.
For further information about Ericsson Energy Systems and Emerson
Electric, please visit: www.ericsson.se.components and www.emersonelectric.com
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