Woodward Signs Agreement to Divest Its Heavy Duty Gas Turbines Combustion Parts Business Based in Greenville, S.C., to GE Vernova
Woodward (WWD) has signed a definitive agreement to sell its heavy duty gas turbines combustion parts business in Greenville, S.C., to GE Vernova (GEV). The transaction involves assets dedicated to supplying parts and services to GE Vernova and is expected to close in early 2025. The deal is not considered financially material to Woodward, and the transaction amount remains undisclosed. The acquisition aims to strengthen GE Vernova's domestic supply chain amid increasing demand for heavy duty gas turbines and upgrades globally. Both companies are working to ensure a smooth transition for Greenville employees.
Woodward (WWD) ha firmato un accordo definitivo per vendere la sua attività di parti di combustione per turbine a gas ad alta potenza a Greenville, S.C., a GE Vernova (GEV). La transazione coinvolge beni dedicati alla fornitura di parti e servizi per GE Vernova e si prevede che venga conclusa all'inizio del 2025. L'accordo non è considerato finanziariamente significativo per Woodward e l'importo della transazione rimane riservato. L'acquisizione mira a rafforzare la catena di approvvigionamento nazionale di GE Vernova in risposta all'aumento della domanda di turbine a gas ad alta potenza e di aggiornamenti a livello globale. Entrambe le aziende stanno lavorando per garantire una transizione fluida per i dipendenti di Greenville.
Woodward (WWD) ha firmado un acuerdo definitivo para vender su negocio de piezas de combustión de turbinas de gas de alta potencia en Greenville, S.C., a GE Vernova (GEV). La transacción involucra activos dedicados a suministrar piezas y servicios a GE Vernova y se espera que se cierre a principios de 2025. El acuerdo no se considera financieramente material para Woodward y el monto de la transacción no se ha divulgado. La adquisición tiene como objetivo fortalecer la cadena de suministro doméstica de GE Vernova en medio del aumento de la demanda de turbinas de gas de alta potencia y actualizaciones a nivel mundial. Ambas compañías están trabajando para asegurar una transición fluida para los empleados de Greenville.
우드워드(WWD)는 사우스캐롤라이나주 그린빌에 있는 중형 가스 터빈 연소 부품 사업을 GE 베르노바(GEV)에 매각하기 위한 최종 계약을 체결했습니다. 이 거래는 GE 베르노바에 부품과 서비스를 공급하는 데 전념하는 자산을 포함하며 2025년 초에 마무리될 것으로 예상됩니다. 이 거래는 우드워드에게 재정적으로 중대한 사항으로 간주되지 않으며, 거래 금액은 공개되지 않았습니다. 이번 인수는 증가하는 중형 가스 터빈 수요와 전 세계적인 업그레이드 속에서 GE 베르노바의 국내 공급망을 강화하는 것을 목표로 합니다. 두 회사는 그린빌 직원들의 원활한 전환을 보장하기 위해 협력하고 있습니다.
Woodward (WWD) a signé un accord définitif pour vendre sa division de pièces de combustion de turbines à gaz lourdes à Greenville, en Caroline du Sud, à GE Vernova (GEV). La transaction porte sur des actifs dédiés à la fourniture de pièces et de services à GE Vernova et devrait se conclure début 2025. L'accord n'est pas considéré comme financièrement significatif pour Woodward, et le montant de la transaction reste non divulgué. L'acquisition vise à renforcer la chaîne d'approvisionnement domestique de GE Vernova face à une demande croissante de turbines à gaz lourdes et à des mises à niveau à l'échelle mondiale. Les deux entreprises travaillent à assurer une transition en douceur pour les employés de Greenville.
Woodward (WWD) hat eine endgültige Vereinbarung zur Veräußertung seines Geschäfts mit Brennstoffteilen für hochleistungsgasgebläse in Greenville, S.C., an GE Vernova (GEV) unterzeichnet. Die Transaktion umfasst Vermögenswerte, die der Versorgung von GE Vernova mit Teilen und Dienstleistungen gewidmet sind, und wird voraussichtlich Anfang 2025 abgeschlossen. Der Deal wird nicht als finanziell wesentlich für Woodward angesehen, und der Transaktionsbetrag bleibt nicht offengelegt. Die Übernahme zielt darauf ab, die nationale Lieferkette von GE Vernova angesichts der steigenden Nachfrage nach hochleistungs-gasgebläsen und globalen Modernisierungen zu stärken. Beide Unternehmen arbeiten daran, einen reibungslosen Übergang für die Mitarbeiter von Greenville zu gewährleisten.
- Strategic divestment allows Woodward to focus resources on core value-driving products
- Transaction strengthens relationship with key customer GE Vernova
- None.
Insights
The divestiture of Woodward's heavy duty gas turbines combustion parts business appears strategically aligned with portfolio optimization, though deemed financially immaterial. The transaction with GE Vernova represents a focused exit from a non-core business segment while maintaining customer relationships. Key insights include:
- The deal allows Woodward to reallocate resources to higher-value product lines, potentially improving operational efficiency
- The timing aligns with increasing demand for heavy-duty gas turbines, suggesting favorable market conditions for the sale
- The transaction's immateriality to Woodward's financials indicates this is a small portion of their overall business, limiting both downside risk and upside potential
While this move streamlines operations, investors should focus more on Woodward's core aerospace and industrial control solutions for future growth potential.
FORT COLLINS, Colo., Nov. 18, 2024 (GLOBE NEWSWIRE) -- Woodward (NASDAQ: WWD), a leader in aerospace and industrial energy control solutions, today announced that it has signed a definitive agreement under which GE Vernova (NYSE: GEV) is to acquire Woodward’s heavy duty gas turbines combustion parts business based in Greenville, S.C. Under the terms of the agreement and subject to meeting all closing terms and conditions, GE Vernova will acquire assets related to the business that are dedicated to supplying parts and services to GE Vernova.
“We are pleased to sign this agreement with GE Vernova,” said Chip Blankenship, Chairman and CEO of Woodward. “This targeted transaction is good for our customer and members and will allow us to focus resources on products that will drive the most value as part of Woodward. I am grateful for our Greenville members’ longtime dedication to Woodward and to serving the customer. They will have opportunities to continue their great work as GE Vernova takes on ownership of the operations.”
For more than 50 years, GE Vernova has held a significant presence in the Greenville area, supporting several local charities including the United Way, Roper Mountain Science Museum and American Heart Association, and other organizations, like the Greenville Drive, Peace Center and others. GE Vernova’s Greenville operations include manufacturing gas turbines and providing global engineering support, in addition to other activities.
“We are excited to acquire and integrate this critical capability for our domestic supply chain as we continue to see increasing demand for our heavy duty gas turbines and upgrades globally,” said Eric Gray, President & CEO, GE Vernova’s Gas Power business. “Welcoming these experts to our Greenville, S.C., team will further enable us to address this growing demand from our customers and meet the electrification needs of our country while serving as an indicator of our commitment to the industry and the community.”
The transaction is expected to close in early 2025, subject to certain closing conditions. Woodward has determined that the transaction is not financially material, and the amount of the transaction is not disclosed. Woodward is working closely with the GE Vernova team to enable a smooth transition for members who work in Greenville.
About Woodward, Inc.
Woodward (NASDAQ: WWD) is the global leader in the design, manufacture, and service of energy conversion and control solutions for the aerospace and industrial equipment markets. Our purpose is to design and deliver energy control solutions our partners count on to power a clean future. Our innovative fluid, combustion, electrical, propulsion and motion control systems perform in some of the world’s harshest environments. Woodward is a global company headquartered in Fort Collins, Colorado, USA. Visit our website at www.woodward.com.
About GE Vernova:
GE Vernova (NYSE: GEV) is purpose-built global energy company that includes Power, Wind, and Electrification segments and is supported by its accelerator businesses. Building on over 130 years of experience tackling the world’s challenges, GE Vernova is uniquely positioned to help lead the energy transition by continuing to electrify the world while simultaneously working to decarbonize it. GE Vernova helps customers power economies and deliver electricity that is vital to health, safety, security, and improved quality of life. GE Vernova is headquartered in Cambridge, Massachusetts, U.S., with more than 75,000 employees across 100+ countries around the world. Supported by the Company’s purpose, The Energy to Change the World, GE Vernova technology helps deliver a more affordable, reliable, sustainable, and secure energy future. GE Vernova’s Gas Power business engineers advanced, efficient natural gas-powered technologies and services, along with decarbonization solutions that aim to help electrify a lower carbon future. It is a global leader in gas turbines and gas power plant technologies and services with the industry’s largest installed base of approximately 7,000 gas turbines.
GE Vernova’s mission is embedded in its name – it retains its legacy, “GE,” as an enduring and hard-earned badge of quality and ingenuity. “Ver” / “verde” signal Earth’s verdant and lush ecosystems. “Nova,” from the Latin “novus,” nods to a new, innovative era of lower carbon energy. Learn more: GE Vernova and LinkedIn.
Notice Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. The forward-looking statements include statements related to the pending sale of Woodward’s heavy duty gas turbines combustion parts business to GE Vernova and related timing, the conditions to the completion of that sale, and the expected benefits and opportunities and possible implications of the transaction. Factors and uncertainties that could cause actual results to differ materially from the forward-looking statements include, but are not limited to, the risk that the transaction may not be completed within the expected time frame or at all, including as a result of delays associated with the receipt of required approvals and risks associated with the announcement and pendency of the transaction on relationships with third parties, including employees, or otherwise. Neither Woodward nor GE Vernova undertake any obligation to update these forward-looking statements except as required by applicable law.
For more information, contact:
Woodward:
Jennifer Regina
Jennifer.regina@woodward.com
970-559-8840
GE Vernova:
Sara Cobb
sara.cobb@ge.com
FAQ
When will Woodward (WWD) complete the sale of its Greenville gas turbines business to GE Vernova?
Is the sale of Woodward's (WWD) Greenville business financially material to the company?
What assets is Woodward (WWD) selling to GE Vernova in the Greenville deal?
