Bel Fuse has entered into a definitive agreement to acquire the Power-One Power Solutions business of ABB Ltd. by paying approximately $117 million in cash to acquire the Power Solutions business, which had 2013 revenue of approximately $251 million.
Power- One offers high density power conversion products for server, storage and networking equipment, industrial applications and power systems with a product line of standard, modified standard and custom designed AC/DC, DC/DC and other specific power conversion products.
Daniel Bernstein, Bel’s President and CEO, said, “The acquisition of Power Solutions is a major step forward in the development of Bel’s power business and the implementation of our strategy to enhance growth and profitability for our shareholders. Since 2009, we have believed that the combination of our two respective power businesses would create a dynamic enterprise capable of competing effectively on a global basis. Bel is excited by the many growth opportunities that will be created by this transaction, and we look forward to building an industry‑leading power business with our new colleagues at Power Solutions.”
“Bel Fuse’s strong heritage, brand and global position will provide the Power Solutions business with excellent growth opportunities,” said ABB CEO Ulrich Spiesshofer.
Bel said it will be using KeyBank N.A. to finance the acquisition and will also use cash on hand.