ABB to acquire Siemens low voltage NEMA motor business

Mike Edwards   

News ABB acquisition Baldor-Reliance low voltage motors NEMA Siemens

Aerial view of the NEMA low voltage motor manufacturing operations.

ABB has signed an agreement to purchase Siemens’ low voltage NEMA motor business. This acquisition is said to provide a well-regarded product portfolio, a longstanding North American customer base, and an experienced operations, sales, and management team.

The business employs around 600 people and generated revenues of approximately US$63 million in 2021. Financial terms of the transaction were not disclosed. The transaction is expected to close in the second quarter of 2023.

This transaction is part of the Motion business area’s profitable growth strategy, and it will allow the NEMA motors division to enhance its product offering, expand its supply chain relationships, and improve support to its North American customer base. It also offers the opportunity to better support the customers in Mexico with local manufacturing and sales.

“We have long appreciated the quality and design of these motors,” according to Jesse Henson, president of ABB’s NEMA motors division.

“Now that we have met the leadership team behind them, I am even more confident that together we can grow our combined businesses faster than either of us could alone. We look forward to adding the Siemens low voltage NEMA motor portfolio to our existing offering of ABB and Baldor-Reliance industrial electric motors.”

The global NEMA motor industry, roughly US$2.7 billion in size, comprises industrial electric motors primarily used within North America. NEMA motors are essential components used to run equipment in industries such as food and beverage, oil and gas, mining and aggregate, and water and wastewater and in applications like those which move air, liquids, and units.

Siemens’ low voltage NEMA manufacturing operations are based in Guadalajara, Mexico.

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