ATLANTA--(BUSINESS WIRE)--Sept. 1, 2004--Signaling the latest expansion of its environmental services capabilities, GE Energy has completed its acquisition of BHA Group Holdings, Inc., a leading global provider of high quality parts, services and performance upgrades for particulate matter control systems. The acquisition was approved at a BHA shareholders meeting on August 27.
As previously announced, the acquisition was an all-cash transaction for $38 per share, or approximately $260 million. BHA is headquartered in Kansas City, Missouri and GE currently plans to move the head office of its environmental services team to the Kansas City facility. With operations in 11 countries, BHA supplies parts, services and engineered upgrades to reduce particulate matter emissions for a broad range of power generation and industrial applications, as well as ePTFE membrane products for use in a variety of industrial and consumer products.
This acquisition allows us to significantly expand our range of environmental services, adding particulate matter control capabilities to our existing combustion optimization, performance enhancement and air quality monitoring technologies, said Ricardo Artigas, president, energy services for GE Energy. It creates an exciting and unique capability to incorporate multiple technologies in end-to-end environmental solutions with the goal of reducing emissions, improving plant performance and increasing a customer's overall profitability.
In addition to the environmental applications, GE sees potential opportunities for BHA membrane technology in other GE industrial businesses.
BHA is the latest in a series of acquisitions and product announcements designed to broaden GE Energy's offerings in renewable and cleaner energy production. GE's environmental services organization is expected to grow at least 50% this year, and is positioned to achieve double-digit growth over the next three years.
BHA Group Holdings began as a division of Standard Havens, Inc. in 1975 and became a publicly owned company in 1986. Fiscal 2003 revenues were $182 million. BHA is a world leader in innovative filtration technology. Its two principal operating subsidiaries are BHA Group, Inc., a leading global supplier of replacement parts and services for industrial air pollution control systems, and BHA Technologies, Inc., which manufactures and markets expanded polytetrafluoroethylene (ePTFE) membrane products for use in a variety of industrial and consumer products.
About GE Energy
GE Energy (www.gepower.com) is one of the world's leading suppliers of power generation and energy delivery technology, with 2003 revenues of nearly $18.5 billion. Based in Atlanta, Georgia, GE Energy provides equipment, service and management solutions across the power generation, oil and gas, transmission and distribution, distributed power and energy rental industries.
Caution Concerning Forward-Looking Statements:
This press release contains certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are naturally subject to uncertainty and changes in circumstances.
Actual results may vary materially from the expectations contained herein. The forward-looking statements contained herein include statements about the proposed transaction and future benefits of the pending proposed transaction between GE and BHA. The following factors, among others, could cause actual results to differ materially from those described herein: actions of the U.S., foreign and local governments; the inability to successfully integrate the businesses of GE and BHA; the costs related to the merger; the inability to achieve cost-cutting synergies resulting from the merger; changing consumer or marketplace trends; the general economic environment; potential or actual litigation challenging the proposed transaction; and other economic, business, competitive and/or regulatory factors affecting businesses generally. More detailed information about those factors is set forth in filings to be made by GE and BHA with the SEC.
Neither GE nor BHA is under any obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
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