GE Power acquires Doosan’s HRSG business unit

• 8 years ago (2016-05-13)
• David Flin

North America 1021

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GE Power has announced that it has signed an agreement to acquire the HRSG business of Doosan Engineering & Construction for $250 million. GE Power said that this acquisition will help it meet the growing demand for combined cycle power plants, and to continue to expand its customer offerings.

The purchase follows GE’s acquisitions of Alstom’s power business last year and of Metem, a US-based provider of precision cooling hole manufacturing technologies, in April.

Steve Bolze, President and CEO of GE Power, said: “With the Alstom acquisition, we are now offering full power plant solutions and seeing an even greater demand for our highest-efficiency heavy-duty gas turbine plants. The Doosan Engineering & Construction HRSG acquisition will help us meet our forecasted growth and better manage costs by increasing our global manufacturing capacity and further complementing our existing HRSG technology. We are also gaining a talent pool that is one of the best in the world.”

Joe Mastrangelo, President and CEO of GE Gas Power Systems, said: “We’re seeing HRSG demand that is more than double historical averages. Our investment in Doosan’s HRSG business will bring us cost-effective, vertically integrated manufacturing and engineering capacity that will allow us to be faster and better as we ramp to meet customers’ needs.”

GE has a majority of worldwide market share. Industry observers have estimated that it took about 51 per cent of gas turbine orders in 2015 by total capacity.

Doosan has three advanced manufacturing facilities, including one in South Korea and two in Vietnam. In operation since 1977, Doosan Engineering & Construction HRSG currently has over 1400 employees.