Hitachi Energy has signed an agreement with Arteche to acquire a minority stake in Arteche Gas Insulated Transformers S.L, a manufacturer of gas-insulated instrument transformers, with the aim of establishing a joint venture (JV) company.

The JV is expected to expand Hitachi Energy’s gas-insulated instrument transformers portfolio and accelerate new technology development in eco-efficient innovation, the company said in a press release.

Under this agreement, the new JV is expected to be located in Vitoria, Spain after the transaction is closed. Arteche will hold 51% majority stake while Hitachi Energy will own the remaining 49%. Following necessary regulatory approvals, the JV governance will be done within the framework of a new independent management board with both companies equally represented.

As a result of this agreement, Hitachi Energy will be able to expand its gas-insulated instrument transformer portfolio for air-insulated and gas-insulated switchgear (GIS) to address the growing GIS market and strengthen its value chain ownership. It will also accelerate the development of new solutions for its high-voltage portfolio that eliminates sulfur hexafluoride (SF6) with scalable solutions for the lowest carbon footprint.

“This agreement represents a milestone for both companies. This will help our growth in this segment and accelerate eco-efficient innovation to advance a more flexible, sustainable and secure energy system” said Markus Heimbach, Managing Director of the High Voltage Products business in Hitachi Energy.

The transaction is expected to be closed in the first half of 2022, subject to necessary regulatory approvals.

Source: Hitachi Energy