India based CG announced it has acquired Sweden’s Emotron Group. The investment is for a consideration of €57.8 million. In the 2010 fiscal calendar, Emotron reported revenues equivalent of €37.3 million and EBIDTA equivalent of €4.4 million.
With this acquisition, CG has taken a big step by building capability for a global presence in offering comprehensive energy saving solutions with latest power electronics technology. The rising energy costs, global focus on energy efficiency, low carbon emissions coupled with global legislations for energy efficiency is expected to catapult the global market for VFDs from $10 billion in 2010 to $16 billion till 2014, said CG.
CG already has its operations based in Europe & offers variety of motors and generators for Industrial markets. Both companies are expected to substantially gain and become a major force to reckon with in the Global VFD/ Industrial Motors market.
This acquisition also enables CG to offer integrated solutions along with its profound application domain knowledge of motors in India. Present market for VFDs in India is estimated to be $375 million and is likely to grow rapidly with industry focusing on green products. This acquisition fills the gap in the automation solutions space for CG’s Industrial business.
Emotron is a power electronics and engineering company. The firm is engaged in engineering and manufacturing of drive solutions with latest IGBT based technology for variable frequency drives (VFDs) with range from 200 to 690V, 0.2kW to 3000kW.
The focus application areas are: Flow Control (pumps, fans, compressors), Material handling (cranes, crushers, mills, conveyors), and Lift control (elevators). Emotron also manufacturers Soft starters & shaft power monitors widely used in several industrial applications.
The Company makes state of the art Rotary heat exchangers with Switch Reluctance Motors for saving the energy. They also have the ability to make Medium voltage VFDs. Emotron has long experience in West European markets especially Germany & BENELUX and has requisite application knowledge of drive technology.
Since 2005, CG has embarked upon an ambitious globalization strategy, growing both organically and inorganically, and drawing into its fold leading international companies such as Pauwels, Ganz, Microsol, Sonomatra, MSE and PTS.
Consequent to this globalization, CG now enjoys manufacturing bases in Belgium, Canada, Hungary, Indonesia, Ireland, France, UK and US, in addition to more than twenty manufacturing locations in India. CG employs more than 8000 employees worldwide.
A worldwide marketing network of more than 150 representatives spans the globe, offering the entire range of CG’s products, solutions and services.