GE Power, a division of General Electric (NYSE: GE), announced Aug. 16 that it has completed the acquisition of the Heat Recovery Steam Generator (HRSG) business of Doosan Engineering & Construction for $250 million.
Originally announced in May, this acquisition will help GE Power meet the growing demand for its combined-cycle power plant solutions, which utilize HRSG technology, and continue to expand its customer offerings.
“Today, we welcome Doosan Engineering & Construction’s HRSG business as the newest member of the GE Power family, following a longstanding partnership with both GE and Alstom,” said Joe Mastrangelo, president and CEO of GE’s Gas Power Systems. “As we expand demand for our HA gas turbines and efficient combined-cycle solutions, a critical part of having the best integrated offering includes Heat Recovery Steam Generators (HRSGs) that enable better plant performance and cost.”
Doosan Engineering & Construction HRSG—a Korean-based world leader in engineering, equipment and infrastructure—has been a trusted and reliable supplier to both GE and Alstom and has a long and proven history as an Alstom licensee. Doosan Engineering & Construction HSRG will now be integrated into GE Power’s Gas Power Systems business, which already includes Alstom’s legacy HRSG business.
For GE and its customers, this new acquisition will bring:
- Capability: The acquisition brings immediate capacity for HRSG engineering and manufacturing.
- Flexibility: Doosan Engineering & Construction HRSG has access to a highly efficient pool of specialized subcontractors to quickly and easily flex up or down GE’s capacity based on customer need.
- Value: A highly cost-competitive player, this team also will drive value across GE’s global manufacturing network with in-house design and manufacturing and significant synergies.
With this announcement, Korean Doosan E&C HRSG employees and the facility in Changwon, Korea, have been transferred to GE. Transactions in Vietnam are expected to close by Q1 2017 pending regulatory approvals.