Thursday, January 13, 2011

Lineage Power Acquired By GE For $520M

Plano-based Lineage Power, a developer of power rectifiers and other power products, is being acquired by GE, in a deal worth $520M. According to GE, it is acquiring Lineage from current owner, private equity firm the Gores Group LLC. GE said that the deal will "open the door" for the firm's technology to deployed in the power conversion space. Lineage Power supplies its products to the telecommunications and datacenter industry. GE said that Lineage Power had revenues of approximately $450M in 2010, and that the deal values the firm at eight time enterprise value based on 2011 EBITDA. Lineage has around 2,300 employees. GE said it was advised by Deutsche Bank in the deal; Lineage and The Gores Group was advised by Morgan Stanley & Co.