ABB to acquire PowerTech Converter
ABB says it will acquire the PowerTech Converter (PTC) business, a supplier of auxiliary power converter solutions for light rail vehicles and metros. The acquisition is described as an important part of ABB Motion’s external growth strategy.
Owned by RCP, PTC with its headquarters in Berlin, Germany and has other facilities in Holzkirchen, Germany and Mount Olive, USA. With around 280 employees, the business generated revenues of approximately EUR 60 million in 2021.
“Through the acquisition, ABB will expand its strong presence in the rail segment and will be better positioned to seize growth opportunities resulting from increasing industry demand for sustainable transport solutions,” said Tarak Mehta, President ABB Motion, in a press release.
Auxiliary converters are an essential part of any rail vehicle, as they supply the power needed for vital systems that improve passenger comfort, such as the HVAC system, lighting, safety equipment, doors, as well as charging of the vehicle's batteries.
“We are excited about the opportunity to welcome the PTC team to ABB’s worldwide family and look forward to supporting their innovation and growth journey. PTC’s advanced portfolio, which includes PowerBriX with its silicon carbide (SiC) technology, is highly complementary to our own offering and will allow our Traction division to provide customers with one of the most comprehensive ranges of auxiliary power converters on the market,” says Edgar Keller, President of ABB’s Traction division.
The financial terms of the transaction were not disclosed, and the deal is expected to close in the fourth quarter of 2022.