Woodward Governor Company has announced that it signed a definitive agreement to purchase all SEG Schaltanlagen-Elektronik-Geraete GmbH & Co. KG (SEG) stock from Cummins, Inc. and Schmitz-Beteiligungs GmbH (SBG), headquartered in Krefeld, Germany, subject to customary approvals.
The acquired business is expected to be accretive to earnings in the first full year of operations. Terms of the agreement were not disclosed. Headquartered in Kempen, Germany, SEG generated sales of approximately US$60 million in calendar year 2005. SEG's product lines are focused on a wide range of protection and comprehensive control systems for power generation and distribution applications, power inverters for wind turbines for the operation of speed variable, double-fed asynchronous generators, and complete electrical systems for gas and diesel engine based power stations. Woodward expects to close the acquisition in October 2006, pending satisfaction of all conditions to closing.
