Siemens To Buy Ballard’s Electric Drive Unit

Posted on December 21, 2006

Germany's Siemens said it has agreed to buy a unit of Canada's Ballard Power Systems that makes fuel cell-vehicle technology. Ballard said its sale proceeds would be about $4 million. "This acquisition will place us in a better position to capitalize on new business opportunities in the $14-billion (by 2015) global hybrid electric vehicle market," Siemens said in a statement.

Ballard said its electric drive operations were not core to its strategy, and that the application had limited revenue potential and high cash consumption. The business is based in Dearborn, Mich., and has about 80 specialist staff in research, development and manufacturing. The two companies said they expected the deal to close in early 2007