ABB will acquire Power-One, a provider of renewable energy power conversion and power management solutions, to become a global leader in solar photovoltaic (PV) inverters.
According to ABB, this deal comes at a good time, despite the ongoing consolidation of the solar panel market in Asia and Europe. The company cites forecasts by the International Energy Agency which indicate the solar PV sector is poised for more than 10 percent annual growth until 2021.
“Solar PV is becoming a major force reshaping the future energy mix because it is rapidly closing in on grid parity,” said ABB’s CEO, Joe Hogan. “The combination of Power-One and ABB is fully in line with our 2015 strategy and would create a global player.”
Power-One provides a comprehensive range of solar inverters, ranging from residential to utility applications, and has a broad global manufacturing footprint. This acquisition will provide Power-One with access to ABB’s R&D, global service and sales capabilities.
ABB has for a number of years provided its solutions to the solar PV industry and is on track to generate sales of more than $100 million in solar inverters in 2013. Solar inverters are one of the fastest-developing technologies in power electronics, requiring substantial research and development (R&D) resources.