GE Power today announced it has signed a purchase agreement to acquire the heat recovery steam generator (HRSG) business of Doosan Engineering & Construction for $250 million. A press released from GE said the purchase will help the company “meet the growing demand for its combined-cycle power plant solutions.”
Korean-based Doosan has supplied both GE and Alstom in the past, and has a long history as an Alstom licensee. Upon completion of the acquisition, Doosan will be integrated into GE Power’s Gas Power Systems business, which already includes Alstom’s legacy HRSG business.
“With the Alstom acquisition, we are now offering full power plant solutions and seeing an even greater demand for our highest-efficiency HA heavy-duty gas turbine plants,” said Steve Bolze, president and CEO of GE Power. “The Doosan Engineering & Construction HRSG acquisition will help us meet our forecasted growth and better manage costs by increasing our global manufacturing capacity and further complementing our existing HRSG technology. We’re also gaining a talent pool that is one of the best in the world.”
“We’re seeing HRSG demand that is more than double historical averages,” said Joe Mastrangelo, president and CEO of GE Gas Power Systems. “Our investment in Doosan Engineering & Construction HRSG will bring us cost-effective, vertically integrated manufacturing and engineering capacity that will allow us to be faster and better as we ramp to meet customers’ needs.”
Doosan has three advanced manufacturing facilities—one in Korea and two in Vietnam. In operation since 1977, the company has more than 1,400 employees specializing in engineering, project management, and manufacturing.