Alstom has developed a new smart grid business unit designed to supplement its existing two business units in power generation and rail transport, Power and Transport.
The development comes after the company acquired Areva T&D’s transmission business this week. Schneider Electric acquired Areva T&D’s distribution business, as part of a consortium agreement with Alstom.
The new business unit, called Alstom Grid, is reportedly an important stage in the development of Alstom as a company.
The AUD$3.36 billion buy-out reportedly gives a new dimension to the Alstom Group which, now with its three sectors, achieves sales of more than AUD$33.6 billion annually and employs more than 96,000 people globally.
The acquisition occurs after Alstom and Schneider Electric announced in July 2009 they were launching a joint acquisition offer for Areva T&D. At the end of November 2009, Alstom and Schneider Electric entered into exclusive negotiations with Areva for the acquisition of its transmission and distribution business, then signed the acquisition agreement end of January 2010.
“Alstom Grid, Alstom’s high-voltage transmission business, will be its third sector alongside Power and Transport. This sector will benefit from all the synergies and all the resources that the Group has, particularly in its international network having a presence in 70 countries, its technological and industrial capabilities and in the existing links between the high-voltage electricity transmission and power generation business”, said Alstom chief executive officer, Patrick Kron.