DALLAS – Global energy infrastructure technology and service provider Dresser Inc., majority-owned by private equity firms Riverstone Holdings LLC and First Reserve Corp., has agreed to be acquired by GE for $3 billion.
The deal includes all of the Dresser businesses, which provide products and services for compression, flow technology, measurement and distribution infrastructure for customers in more than 150 countries.
Dresser president and CEO John Ryan said, “Joining the GE family will enhance our company’s capability to provide best-in-class energy technologies to a much broader segment of the energy sector.”
Fairfield, Conn.-based GE’s energy business provides a range of solutions across the energy value chain, from supply and conversion to delivery, utilization and services. Part of that model is natural gas-fired turbines for power generation and water treatment and recycling for oil and gas drilling operations. “Dresser is a great fit for the GE business model,” said John Krenicki, vice chairman of GE and president and CEO of GE Energy.
“Dresser has a global franchise and brand with 60% of revenues outside of North America which will be accelerated by GE’s global footprint. Through the acquisition we will bring to bear our focus on research and development to Dresser’s highly-engineered custom solutions and create an opportunity for Dresser’s 6,300 talented employees to dramatically expand their businesses,” he continued.
More than 85% of Dresser’s revenues are derived from energy customers on a global basis.
Morgan Stanley acted as exclusive financial advisor to Dresser on this transaction, while Barclays Capital Inc. acted as exclusive financial advisor to GE.
Headquartered in Addison, Texas, Dresser is a privately held company with revenues of $2 billion and earnings of $318 million in 2009.
Source: GE, Dresser Inc.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment