GE Vernova Unveils Strategic Move: Acquires Energy Joint Venture in Bold Expansion

GE Vernova has announced that it will acquire the remaining half of Prolec GE, an established joint venture with Xignux.

History of the Joint Venture

GE Vernova first established the Prolec joint venture with Xignux in 1995. Since then, Prolec GE has emerged as a leading grid equipment supplier. The company currently has around 10,000 employees and seven global manufacturing facilities, producing a variety of transformers.

For its part, Xignux is a supplier to the energy and food industries based in Monterrey, Mexico.

Prolec GE Expansion

Prolec GE has undergone recent expansion, including $300 million worth of investments in both the United States and Mexico. This includes a $140 million boost to the company's Goldsboro, North Carolina, facility that came with 330 jobs.

GE Vernova hopes to ride the tails of this with the further acquisition stake, accelerating its growth trajectory in the electrification segment in North America, where it says the demand for grid technologies is quickly growing.

Going All In

GE Vernova will spend more than $5 billion on the deal, which is projected to close in mid-2026.

The company's chief executive, Scott Strazik, called the move to establish full ownership "highly attractive and strategic,” adding that the acquisition“aligns with our strategic and financial objectives and is also good for our customers by strengthening our presence in North America, where demand for grid equipment is growing rapidly.”

Image credit: Piotr Swat/Shutterstock

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