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ABB to acquire Siemens low-voltage NEMA motor business

Aug. 11, 2022

ABB has signed an agreement to purchase Siemens’ low-voltage NEMA motor business. With manufacturing operations in Guadalajara, Mexico, this acquisition provides a well-regarded product portfolio; a longstanding North American customer base; and an experienced operations, sales and management team. The business employs around 600 people and generated revenues 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.

This transaction is part of the motion business area’s profitable growth strategy, and it will allow the NEMA motors division to enhance its product offering, expand its supply chain relationships, and improve support to its North American customer base, the company says. 

“This bolt-on acquisition creates strong value for ABB’s NEMA motors division,” said Tarak Mehta, president ABB Motion. “Investing in the business and opening up sales opportunities in North America and especially Mexico will allow this business to be margin accretive to the ABB Motion business within 24 months.”

Jesse Henson, president of ABB’s NEMA motors division, added: “We have long appreciated the quality and design of these motors. Now that we have met the leadership team behind them, I am even more confident that together we can grow our combined businesses faster than either of us could alone. We look forward to adding the Siemens low-voltage NEMA motor portfolio to our existing offering of ABB and Baldor-Reliance industrial electric motors.”

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