ABB takes majority interest in its licensee in Bulgaria to manufacture high-voltage switchgear
Zurich, Switzerland, August 22, 1996 - ABB, the international electrical engineering company, today announced its acquisition of 67 percent of the shares of Bulgarian electrical manufacturer Avangard Ltd, producing switchgear and other electrical equipment for the Bulgarian market. The acquisition agreement was signed by ABB and the state Agency for the Privatization of Bulgaria and establishes ABB's second manufacturing company in Bulgaria - the first being ABB Control, in Petritsch, which manufactures low-voltage apparatus. Avangard Ltd is located in the town of Sevlievo in the center of the country, 180 km north-east of Sofia, and employs almost 400 people.
The newly acquired company, to be named ABB Avangard Ltd, specializes in the manufacture of high-voltage switchgear and has been a licensee of ABB since 1986. About 70 percent of its production goes to the domestic market, and 30 percent is exported. Through this acquisition, ABB Avangard will share in ABB's latest technology and will form an important platform for the expansion of ABB's business in Bulgaria and the provision of closer customer service.
ABB Avangard is part of ABB's Power Transmission and Distribution segment, employing nearly 47,000 people worldwide with orders in 1995 of nearly US$ 9 billion. The ABB Group employs approximately 217,000 people worldwide with orders in 1995 of over US$ 36 billion.