Cambridge, October 21, 2025 – GE Vernova announced plans to acquire the remaining 50% stake in its joint venture Prolec GE from Xignux. The move will give the company full ownership of the transformer manufacturer and further expand its footprint in fast-growing global grid markets.

Strengthening Position in a High-Growth Market

The acquisition is designed to accelerate growth within GE Vernova’s Electrification segment—currently its fastest-expanding business line. It also enhances the company’s ability to serve customers in North America, where demand for grid infrastructure is rising sharply due to increased electrification, policy support, and the expansion of energy-intensive sectors such as data centers.

By fully integrating Prolec GE, the company will expand its manufacturing capacity and product portfolio at a time when electricity demand and grid modernization needs are accelerating globally.

Overview of Prolec GE

Prolec GE is a major supplier of grid equipment, specializing in transformers across a wide range of voltages and applications. The company employs around 10,000 people across seven manufacturing sites in the Americas, including five facilities in the United States.

Originally formed in 1995 as a joint venture between Xignux and General Electric, the business has grown into a key player in the transmission and distribution equipment sector. The planned acquisition marks the culmination of three decades of partnership.

Financial Structure and Growth Outlook

The transaction is valued at approximately $5.275 billion and is expected to be financed through a balanced mix of cash and debt. Closing is targeted for mid-2026, subject to regulatory approvals.

Prolec GE is projected to generate around $3 billion in revenue in 2025, with an adjusted EBITDA margin of approximately 25% and continued double-digit growth anticipated in the coming years.

The deal is expected to be immediately accretive to GE Vernova’s financial performance, even before accounting for operational synergies.

Strategic Impact

Leadership at GE Vernova emphasized that the acquisition aligns with both strategic and financial objectives. Full ownership will allow tighter integration of manufacturing, innovation, and service capabilities, improving responsiveness to customer needs.

At the same time, Xignux will continue to focus on its remaining businesses, particularly in energy and food sectors, while maintaining its commitment to regional development in Mexico and North America.

Ongoing Investment and Expansion

In recent years, Prolec GE has invested over $300 million in capacity expansion and innovation across the United States and Mexico. This includes a $140 million investment in Goldsboro, expected to create hundreds of new jobs.

Outlook

With full control of Prolec GE, GE Vernova is positioning itself to better address the growing global demand for grid infrastructure. The transaction supports its long-term strategy of scaling electrification capabilities, enhancing supply chain resilience, and delivering advanced technologies to support the global energy transition.

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