hedge fund Cevian increased pressure on ABB
The Swedish hedge fund Cevian Capital increases the pressure on the Swiss industrial group ABB to split its energy business entirely or partially. Cevian have the consulting firm Boston Consulting Group (BCG) in a study for ABB strategy commissioned to substantiate his splitting arguments, manager magazine reported in its latest edition (publication date: March 18), citing financial circles.
Given last disappointing results, ABB CEO Ulrich Spiesshofer announced last September to examine the newly formed power systems division all options including a separation. As the magazine, citing the ABB-environment reports, seeks to achieve the management to Spiesshofer and Chairman Peter Voser, ABB obtain as integrated group with robotics, automation and energy. At most, a sale of smaller parts and partnerships, such as for large power projects, come into question.
Cevian this is not enough, according to the magazine. The hedge funds had entered the middle of last year, with 5.2 percent of ABB. Cevian already bring financial investors such as CVC Capital Partners as a potential buyer for parts of ABB's energy business in place, writes mm. In addition, since more than one year interest show China's largest power grid operator, State Grid Corporation of China State, at the ABB Power System Technology.
Spokesman of Cevian, ABB, CVC, BCG and State Grid declined to comment on the information.