ABB Ltd. (ABB) announced that it has acquired the assets of Sinai Engineering Corporation to enhance its presence and capabilities in Western Canada. Sinai Engineering’s offerings include high-voltage substations and transmission line design, generation and transmission system planning and analytical studies, as well as procurement and construction management. Its customers include electric utilities, conventional and heavy oil, gas processing, pulp and paper, mining, pipeline operators and independent power producers. It employs about 30 employees.
ABB did not disclose the value of the transaction.
This acquisition is aligned with the company’s strategy to strengthen its footprint in Western Canada , particularly in providing engineering services to oil and gas and utility customers.
Further, ABB announced that it has renewed its $2 billion revolving credit facility in line with its strategy to ensure maximum financial flexibility. The new three year credit facility replaces the existing facility signed in 2005 which was to expire in July 2010. The agreement is signed by a syndicate of 29 banks. The terms of the new facility reflect ABB’s strong credit profile.
The transaction was initially launched at $1.5 billion but increased to $2 billion after a very substantial oversubscription. The facility is required for general corporate purposes. The demands put on the Oil and Gas Industry are the challenges that ABB meets every day around the globe.
As the world’s leading automation supplier to the Oil and Gas Industry, ABB understands challenges, whether in the field, on a platform, at the terminal, along the pipeline or in the refinery. Its products, services, and solutions help optimize operations, eliminate losses, improve the quality and flow of information, and meet safety and environmental regulations.
ABB is a leader in power and automation technologies that enable utility and industrial customers to improve their performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 120,000 people. In Canada, ABB employs about 2,300 people in 40 locations from one coast to the other. Major competitor is Siemens AG (SI).
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