According to foreign media reports, TE has signed an exclusive negotiation agreement with ABB and plans to acquire ABB's Entrelec terminal business. At present, the financial terms of the acquisition have not been disclosed for the time being.
Entrelec was founded in 1920 and its products serve customers in more than 70 countries. ABB took it in 2001 and the price was 310 million euros. TE is one of the largest connector manufacturers in the world and does not explain it.
If TE acquires ABB's Entrelec business, the former will add a more comprehensive range of terminal blocks to its portfolio, and this acquisition will enable TE to provide users with more complete power, signal and data connectivity. product.
Lars Brickenkamp, senior vice president and general manager of the TE Industry Department, said: “This acquisition is an excellent strategy for TE because after the two brands are combined, they will play a greater role in TE’s ownership. TE said that it provides customers with a wider and more complete product platform. In addition, the close integration of TE's existing industrial team and the ABB team will greatly enhance TE's customers' cooperation in the field of automation."
The so-called "big money" can be used to make money. Because it makes money, it costs money. In 2017, TE net sales reached 13.1 billion U.S. dollars, an increase of 9% over the previous year. This is mainly due to the performance of TE in the fourth quarter.
Terreence Curtin, CEO of TEConnectivity, said: "The strong fourth quarter performance was a perfect ending for the outstanding 2017 fiscal year. Compared to the same period last year, sales for the entire fiscal year rose by 9%, adjusted earnings per share. With a 22% increase, we will continue to promote the strong growth of our business with the global deployment of TE and market-leading products. According to forecast, TE2018's net sales for the first fiscal quarter will reach US$3.35 billion to US$3.45 billion. It will reach 14.1 billion U.S. dollars.
Strong and powerful alliances are not only reflected in the brand but also in technology.
TE recently introduced the Intercontec connector, which easily connects power, signals and data (or a combination of all three). Intercontec uses a modular design and is highly compatible and suitable for a variety of combinations. TEIntercontec connectors are plug-and-play, making it quick and easy for even the non-professional electrician to complete the installation of the connector and replace the defective part.
In the field of terminals, the ADO insulation displacement connection technology of ABB terminals is leading in the world. This technology has been used abroad for several decades. The terminals can be used in the harshest environments and in the industry, It is widely used in energy, railways, automobile manufacturing, chemical engineering, petrochemicals, marine transportation, machine tools, building construction (air conditioning, elevators). With this technology, all risks of manual connection can be eliminated because it does not depend on the operator. At the same time, the design of ADO ensures the connection of shock resistance and corrosion resistance, and eliminates the need for repeated crimping steps.
The 310 million euros before 2001 are now more than that, because Entrelec is worth a lot of money.
ABB's Entrelec terminal has been around for nearly a hundred years since 1920. Entrelec's terminals are originally produced in Lyon, France. France is famous for its railroad locomotives in Yumeng, and Yumeng has the strictest requirements for French products. A well-known brand with a long history wants to fully open up its market in China in order to win the dominance of the terminal market in China. With the help of a big tree - ABB, ABB has a well-known market share in China. Therefore, it will marry ABB. After that, Entrelec's development in China will be even higher.
The following are the main successful use cases of ABB terminal blocks: French Renault Automotive Production Line, Paris Metro Engineering, Huizhou China Petrochemical Nanhai Shell Petroleum Engineering, Alstom22KW Substation, Shanghai Metro Pearl Line, Nanjing Metro Project, Nanjing Puzhen Locomotive and Rolling Stock Works, electric actuators produced by Beijing Bernard Company, Shenzhen Metro Engineering, China Petroleum Changqing Oilfield Information Technology Pipeline Project, Guizhou Crystal Organic Chemicals (Group) Co., Ltd. production line renovation project.
In the end, basin friends are concerned about a very important issue: TE is willing to pay a "heavy money" to dedicate a gift. Will ABB terminals be willing to "marry"?
It is understood that TE’s acquisition of Entrelec must meet certain conditions, including obtaining regulatory approval, and negotiating with the agency representing the employee.
Therefore, there may be even more exciting story about this acquisition. Wait...
