USA: Business Takeover Air Products Completes Acquisition of Gasification Business from GE Power
The acquisition supports Air Products’ long-term and strategic focus on gasification. Under the terms of the agreement, the firm has also acquired GE’s share in its 50:50 JV with China Shenhua Coal to Liquid and Chemical Company, a subsidiary of China Energy Group.
Lehigh Valley/USA – Air Products has recently announced that it has completed the acquisition of General Electric Company’s (GE) gasification business from GE Power. Financial terms of the transaction are not being disclosed.
“The successful acquisition of the GE gasification technology further supports our long-term, strategic focus on gasification. This acquisition, combined with our other capabilities, gives us the ability to provide a complete solution to our customers, including financing, technology, engineering, construction, and operation of large syngas projects. We welcome the experienced and talented GE gasification team and look forward to supporting them to further grow the business,” said Seifi Ghasemi, chairman, president and chief executive officer at Air Products.
The gasification business acquired by Air Products includes GE’s share of its 50/50 joint venture (JV) with China Shenhua Coal to Liquid and Chemical Company, a subsidiary of China Energy Group, a world-class energy company. The JV, formed in 2012, provides technologies for gasification projects in China.
The acquisition includes approximately 50 total employees, including employees of the JV.
In Air Products’ sale-of-gas business model, the company finances, builds, owns, operates and maintains the gas production plant so its customers can focus their attention and capital on their primary business. Examples of larger-scale, multi-billion-dollar gasification projects include the Lu’an, Juitai and Yankuang Group projects in China, as well as the Jazan project in Saudi Arabia.