Nihon Keizai Shimbun said that HITACHI spent 6.4 billion dollars to acquire Power grid business department of ABB which is a famous Swiss engineering group and world’s largest enterprises in distribution and other power system business areas. After this acquisition, HITACHI will rank behind only General Electric as the second largest provider of heavy electrical equipment around the world.

It’s reported that ABB will divest related business at first, and then HITACHI is going to buy 80.1% shares of the new company which shall become HITACHI’ s wholly-owned subsidiary after 4 years. ABB shows they will return the cash earnings of right offering to shareholders.