In a strategic move to enhance its market footprint, on May 17, 2024, ABB announced the acquisition of Siemens' wiring accessories business in China. This acquisition is set to significantly broaden ABB's reach and strengthen its customer offerings in the smart buildings sector within the region.
ABBÂ is a technology leader in electrification and automation, enabling a more sustainable and resource-efficient future.
The integration of Siemens' established business in China aligns with ABB's ongoing commitment to innovation and customer-centric solutions. This acquisition reinforces ABB's position in the market and promises to deliver enhanced value to customers seeking advanced smart building technologies.
With this expansion, ABB continues solidifying its industry leadership, leveraging Siemens' extensive experience and product portfolio to meet the growing demand for smart, efficient building solutions across China.
ABB is acquiring Siemens' offering, which includes wiring accessories, smart home systems, smart door locks, and various peripheral home automation products. Through a licensing agreement, these products will continue to be sold under the Siemens brand.
This acquisition will provide ABB access to a vast distribution network across 230 cities in China, along with valuable expertise from regional sales, manufacturing operations, and management teams. Siemens' Wiring Accessories business in China, which generated over $150 million in revenue in 2023 and employs more than 350 people, will be margin accretive to ABB. The transaction is expected to close within the next twelve months, though financial terms have not been disclosed.
Mike Mustapha, the President of ABB Electrification's Smart Buildings Division, said, "This acquisition reflects our strategic focus and commitment to growth in China."
"With the new channel to market and expanded offering, we can deliver a full range of ABB building automation and energy distribution solutions, enriching customers' options for safe and reliable smart buildings technology."
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