WILTON, Conn.--(BUSINESS WIRE)--Nov. 15, 2004--
GE Infrastructure, a unit of General Electric Co. (NYSE: GE), announced today that, subject to regulatory approvals, GE will acquire Edwards Systems Technology (EST), the fire detection systems business of SPX Corp. (NYSE: SPW) for $1.395 billion in an all-cash transaction.
"GE Infrastructure is rapidly becoming the premier security provider and acquiring Edwards positions us as a leader in the $5 billion fire detection and life safety segment," said Bill Woodburn, president and CEO of GE Infrastructure. "By combining Edwards' technology and channel strength with the broader security offering of GE, we can now offer an integrated facility management solution to our channel partners and end users. This represents a new, $10-billion industry opportunity. We see significant revenue and cost synergies with this combination, and expect the acquisition to be accretive to GE's 2005 earnings."
GE's acquisition of Edwards is significant because fire detection systems are the only security devices that are required as part of the building specification in new construction projects. As a result, fire detection systems play a central role in the design and specification of overall security systems.
"We're seeing a convergence of technologies in the security arena, and a strong fire and life safety business is key to presenting an integrated facility management solution. Since Edwards' technologies can be installed using a building's existing fire system wiring, there is a significant opportunity for GE Infrastructure to serve the important retrofit segment," said Ken Boyda, president of GE Infrastructure's security business.
About GE InfrastructureGE Infrastructure, headquartered in Wilton, CT, is a high-technology platform, comprised of some of GE's fastest-growing businesses, including the Security and Water & Process Technologies platforms. These global businesses offer a set of infrastructure protection and productivity solutions to some of the most pressing issues that industries face. Learn more at http://www.geinfrastructure.com. For more information about GE's Security business and our product offerings, please visit (http://www.gesecurity.com).
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