Japanese electronics company Toshiba is to acquire integrated energy management provider Landis+Gyr for $2.3bn (£1.4bn) in cash.
Operating in 30 countries across five continents, Landis+Gyr has pioneered the creation of smart metering, networking and service products to meet the needs of the utility industry.
Today, it employs 5,000 people and has 8,000 global utility customers. Toshiba is acquiring this capability and know-how, and intends to build the business as a standalone entity.
’Our intent is to become a global leader in the smart community business by 2020. Together with Landis+Gyr, we will accelerate the development of our combined product and service portfolio to provide energy management systems in the global market,’ said Hideo Kitamura, Toshiba’s corporate executive vice-president.
Andreas Umbach has assumed the title of Landis+Gyr’s chief executive officer and Cameron O’Reilly will become the executive deputy chairman until the closing of the transaction.
The acquisition remains subject to regulatory approvals and other customary conditions and is expected to close in the third calendar quarter of this year.
There are no plans for job reduction or restructuring as a result of the transaction.