ABB Ltd., the Zurich, Switzerland-based provider of power and automation technologies, announced on July 17 that Joseph M. Hogan will become chief executive officer of the ABB Group, effective Sept. 1. Hogan, who is 51, is currently CEO of GE Healthcare, a medical diagnostic technology and biosciences unit of General Electric Co., and is member of the GE Senior Executive Council.
Hogan will fill the CEO position held previously at ABB by Fred Kindle, who left the post on Feb. 13, due to what ABB said at the time were “irreconcilable differences about how to lead the company.” Hogan replaces Michel Demaré, ABB’s chief financial officer, who has held the CEO position on an interim basis since Kindle’s departure. Demaré will continue to serve as ABB’s CFO.
Expanding power
Word of Hogan’s appointment came just a day after ABB announced that it has signed an agreement to acquire U.S. transformer company Kuhlman Electric Corp., Versailles, Ky., from The Carlyle Group, a global private equity firm based in Washington, D.C. Terms of the deal were not disclosed. ABB expects the transaction to close in a few months.
Kuhlman Electric, which manufactures transformers for the industrial and electric utility sectors, had revenues of about $250 million last year, and has recorded profitable growth with double-digit annual growth over the past five years. ABB plans to integrate Kuhlman Electric's operations into its Power Products business in North America.
“This transaction is the first milestone of our acquisition strategy, which is focused on finding bolt-on acquisitions that selectively complement both our product range and geographical presence,” Demaré said. “The addition of Kuhlman Electric’s business into our power products portfolio will allow us to further capture opportunities for profitable growth. At the same time, our customers will benefit from our broader offering.”
International record
Addressing the appointment of Hogan, ABB Chairman Hubertus von Gruenberg said: “Following our extensive search over the past months, the Board of Directors is very pleased with Joseph’s decision to take on this exciting role. His proven international track record as a highly successful leader at one of the world’s most respected technology companies will be a great contribution to the company as we continue to focus the organization on excellence in everything we do.”
“I am honored to become ABB’s CEO,” Hogan said. “I am deeply committed to ABB’s drive to increase energy efficiency and industrial productivity for its customers. I look forward to leading the Company to the next stage of its development and success together with the team at ABB.”
Hogan's career at GE spans 23 years. He led GE Medical Systems and then GE Healthcare from November 2000, during which time he grew the business by $11 billion. Prior to that, he served as president and CEO of GE Fanuc Automation North America Inc., a supplier of industrial controls systems, and a joint venture between GE and Fanuc of Japan. Previously, he held a number of positions in sales, marketing and product development at GE Plastics.
Hogan holds a Bachelor of Science degree in Business Administration from Geneva College, in Beaver Falls, Pa., and an Master of Business Administration degree from Robert Morris University, Moon Township, Pa.
ABB
www.abb.com
The Carlyle Group
www.carlyle.com
Kuhlman Electric Corp.
www.kuhlman.com
