Invensys Limitedwas amultinationalengineering and information technology company headquartered in London, United Kingdom. At its height, the company had offices in more than 50 countries and its products were sold in around 180 countries.[3]
Company type | Subsidiary |
---|---|
Industry | Industrial Automation,Transportation,Controls |
Founded | 1999 |
Defunct | 2014 |
Fate | Merged toSchneider Electric |
Headquarters | London,England |
Key people | Jean-Pascal Tricoire (chairmanandCEO) |
Products | Automation software computer-based automation hardware systems temperature controllers control systems |
Revenue | £1,792 million (2013)[1] |
£43 million (2013)[1] | |
£128 million (2013)[1] | |
Number of employees | 16,500 (2011)[2] |
Parent | Schneider Electric |
Invensys was formed in 1999 through the merger ofBTR plcandSiebe plc.[4]It was originally founded on 1 April 1920 asSiebe Gorman & Company Ltdand continued through various name changes registered atCompanies Housefrom that date. Invensys lines of business were grouped into four segments: Software, Industrial Automation, Energy Controls and Appliance. Its brands included Avantis,Eurotherm,Foxboro, IMServ, InFusion,Triconex,SimSci, Skelta,Wonderware,Drayton, Eberle, Eliwell.
Less than three years after its establishment, Invensys was in financial hardship, in part due to having overpaid for acquisitions such as theBaan Corporationat the height of thedotcom bubbleand having accumulated a heavy debt burden. Through several divestments and a major restructuring, the company's fiscal situation had improved by 2005, allowing the pace of acquisitions to pick up. Considerable business was being obtained by its various products in the railway sector, which it opted to align under theInvensys Railbrand. Invensys Rail was ultimately sold to the German engineering conglomerateSiemensin exchange for £1.7 billion in May 2013.
Between 2011 and early 2012, the company's share price fell by nearly 50%, which was attributed to a £40 million expense from the delayed production of control and safety systems for eightChinese nuclear reactors.In response, Invensys began openingly seeking to be acquired by a larger company, approaching the American industrial automation companyEmerson Electricwithout any bid being made. During January 2014, Invensys was taken over by the French multinationalSchneider Electricfor a total consideration of $5.5 billion. Schneider opted to fully integrate the company and phased out the "Invensys" brand in favour of its own.
History
editInvensys was formed through the merger ofBTR plcandSiebe plcin 1999.[4][5]Between 1999 and 2004, it underwent a major restructuring programme involving thousands of redundancies to cut its costs amid falling sales and a sizeable debt burden that allegedly posed the possibility of the company goingbankrupt.[6][7]A major disposal programme combined with a £2.7bndebt restructuringduring 2004 saved Invensys from collapse.[8][9]It was under this strategy thatThe Baan Corporation,which it purchased in 2000 amid thedotcom bubblefor €762 million,[10]was sold three years later for only US$135 million.[11][12]Several other elements, such as Fasco motors and Eurotherm Drives, were also divested to refinance the company.[13][14]
During May 2005, following the completion of the refinancing effort, Rick Haythornthwaite resigned his position as Invensys' chief executive, his position was filled by Ulf Henriksson.[15]In May 2006, the French multinationalSchneider Electricannounced that it would acquire Invensys Building Systems (IBS) operations in both North America and Asia in exchange for $296 million.[16]During December 2007, Invensys arranged to sell its Firex Safety Division toUnited Technologies.[17]That year, the company opted to expand its presence inIndonesia.[18]
In late 2009, as part of an effort to align its various brands and names in the railway sector together,Westinghouse Rail Systemswas renamedInvensys Rail.[19]At the time, Invensys Rail was one of a handful of companies that produced equipment compatible with the newEuropean Rail Traffic Management System(ERTMS).[20]During 2011 alone, deals cumulatively valued at £700 million were secured by Invensys Rail from numerous organisations such asNetwork RailandObrascón Huarte Lainfor its signalling products.[21][22][23]
In March 2011, Wayne Edmunds, who had been Invensys' chief financial officer since 2009, was appointed Chief Executive, replacing Ulf Henriksson.[24][25]According toThe Financial Times,Henriksson, who had been Invensys's Chief Executive since 2005, had had differences with chairmanNigel Ruddover the company's management, in spite of the return to financial health under Henriksson.[25]
During the late 2000s and early 2010s, Invensys became increasingly involved in the Chinese market across various sectors, including the rail and power generation sectors.[26][27]Between 2011 and early 2012, the company's share price dropped by almost 50%, the devaluation being largely attributed to a £40 million expense associated with delays in the production of control and safety systems for eightChinese nuclear reactors.[28][29]On 2 May 2013, Invensys sold off its Wiltshire-based rail division to the German engineering conglomerateSiemensin exchange for £1.7 billion, the majority of which being used to address a deficit in its company pension scheme.[30][31]
In 2012, Invensys held discussions with the American industrial automation companyEmerson Electricon a prospective takeover, although Emerson never issued any firm approach.[32][33]That same year, the company's management team was compelled to issue a denial of a comment made by Henriksson that he expectedChina Southern Railto make a substantial offer to obtain a stake in Invensys.[34]The two companies had previously signedlicensingagreements that led to Invensys Rail Group's signalling products being locally produced in China as well as to jointly sell those products to China's expansive mass transit market.[35][36]
During July 2013, it was announced that Invensys was set to be taken over by Schneider Electric, one of the firm's long term competitors, for a total consideration of £3.4 billion.[37][38]The deal was noted to likely involve job losses as Schneider revealed plans to make cost savings of around €140m (£122m) per year.[30]Reports claimed that the American engineering conglomerateGeneral Electricwas planning to issue its own £3.5 billion ($5.3 billion) counterbid for control of Invensys.[39][40]The takeover was completed on 17 January 2014 and Invensys was declared to have been fully integrated by Schneider seven months later.[41]
Operations
editInvensys was organised into four main segments: Software, Industrial Automation, Energy Controls and Appliance.
Avantis
editAvantis Enterprise Asset Managementprovides maintenance repair and operations including maintenance management, spares and inventory management, condition monitoring and procurement.[42]
Eurotherm
editEurothermis a supplier of control measurement and data recording to industrial and process consumers.[43]
Foxboro
editFoxboro Companyprovides control systems addressing distributed and plant operations[44]as well as measurement and instrument systems.[45]Instruments include Pressure Transmitters,[46]Coriolis Flow Meters,[47]Valve Positioners,[48]Buoyancy Level Transmitters[49]and Temperature Transmitters.[50]
IMServ Europe
editIMServ Europeis a provider of energy management and data monitoring services.[51]IMServ was previously part of Invensys Controls.
SimSci
editSimSciprovides applications that help improve asset performance and utilisation with integrated simulation, optimisation, training, and process control software and services.[52]
Skelta BPM
editSkelta BPMis a product forbusiness process management.[53]
Triconex
editTriconexprovides safety and critical control systems used in applications includingemergency shutdown,burner management,fire and gasand turbomachinery control and protection.[54]
Wonderware
editWonderwareprovides software products to address production operations, production performance, manufacturing intelligence, business process management and collaboration.[55]
See also
editReferences
edit- ^abc"Preliminary Results 2013"(PDF).Invensys plc.Retrieved21 March2014.
- ^"About us".Invensys.Retrieved11 April2012.
- ^"Annual Report and Accounts 2010"(PDF).Invensys plc.Retrieved26 September2010.
- ^abHarrison, Michael (24 November 1998)."Siebe and BTR unveil plans for pounds 9.4bn merger".The Independent.London.
- ^"Invensys Preliminary Results for the 12 Months Ended 31 March".bloomberg. 31 March 2000.
- ^"Invensys PLC Ratings Lowered to 'BBB-' and Removed from CreditWatch; Outlook Stable".disclosure.spglobal. 13 December 2002.
- ^Keers, Helena (15 November 2002)."Invensys plunges after disappointing losses and warning".The Telegraph.
- ^Mathiason, Nick (18 April 2004)."Good signals at Invensys".The Guardian.London.
- ^"Invensys sells CompAir for £1".drivesncontrols. 1 June 2002.
- ^Wootliff, Benjamin (19 July 2000)."ING paving the way for Invensys to buy Baan".The Daily Telegraph.London.
- ^"Was ABN the worst takeover deal ever?".The Independent.20 January 2009.
- ^"Invensys sells Baan for US$135 million".Business Wire.2003.
- ^"Fasco motors business changes hands again for $220m".drivesncontrols. 3 July 2007.
- ^"Parker Hannifin acquires SSD Drives".controleng. 25 August 2005.
- ^Guha, Malini (19 May 2005)."Invensys losses widen as chief executive departs".Financial Times.
- ^"Schneider Electric acquires Invensys Building Systems for $296 million".automation. 25 May 2006.
- ^Goldstein, Steve (21 December 2007)."Invensys to sell fire safety unit to United Technologies".
- ^"Invensys expands operations in Indonesia".pacetoday.au. 26 November 2007.
- ^"Westinghouse Rail Systems becomes Invensys Rail".Railway Gazette International. 2 September 2009.
- ^"Safely connecting Europe's railways".globalrailwayreview. 30 July 2007.
- ^"Invensys wins Great Northern Great Eastern signalling contract".Railway Gazette International. 24 January 2013.
- ^"Invensys Rail lands €700 million rail signalling contracts".globalrailwayreview. 3 November 2011.
- ^"Invensys Rail Dimetronic will implement the first ERTMS Level 2 system in Turkey".globalrailwayreview. 26 January 2011.
- ^"Appointment of Chief Executive".Press release.Invensys. 24 March 2011.Retrieved29 March2011.
- ^abMarsh, Peter; Kavanagh, Michael (24 March 2011)."Invensys replaces chief executive".The Financial Times.Archived fromthe originalon 11 December 2022.Retrieved29 March2011.
- ^Moore, Malcolm (13 November 2010)."Invensys rails against poor China relations".The Telegraph.
- ^"Invensys to supply digital automation in China coal plants".power-eng. 5 April 2006.
- ^"Invensys hit by costs racking up in China".Evening Standard. 17 May 2012.
- ^"Invensys shares tumble on profits warning".Daily Telegraph.13 January 2012.Retrieved15 January2012.
- ^ab"Invensys agrees takeover by France's Schneider".The Guardian.31 July 2013.
- ^"Siemens completes Invensys Rail acquisition".Railway Gazette International. 2 May 2013.
- ^Kirchfeld, Aaron; Campbell, Matthew; McCracken, Jeffrey (21 June 2012)."Invensys Said to Weigh Options After Emerson Interest".Bloomberg.
- ^Fletcher, Nick (20 June 2012)."Invensys jumps by a quarter on talk of bid interest from US group Emerson".The Guardian.
- ^"Invensys board denies chief's claim of China Southern Rail move".Evening Standard. 11 April 2012.
- ^"Invensys rail agreements open way into China market".eandt.theiet.org. 20 September 2010.
- ^Fletcher, Nick (17 September 2010)."Invensys accelerates on China rail deal as FTSE moves above 5600".The Guardian.
- ^"Why the chancellor may weep at Invensys takeover".BBC News.31 July 2013.
- ^"Schneider's £3.4bn takeover of Invensys goes ahead".drivesncontrols. 31 July 2013.
- ^Dunkley, Jamie (15 July 2013)."General Electric fans flames of Invensys bidding war".The Independent.
- ^"GE prepares to counter Schneider's bid for Invensys".domain-b. 15 July 2015.
- ^"Schneider Electric Announced Complete Integration of Invensys".pumpsandsystems. 12 July 2014.
- ^"Avantis website".software.schneider-electric.Retrieved9 May2012.
- ^"Eurotherm: Temperature Control, Measurement and Data Recording Solutions".Eurotherm USA.Retrieved29 March2011.
- ^"Foxboro Distributed Control System".Invensys. Archived fromthe originalon 12 July 2012.Retrieved29 March2011.
- ^"Measurement and Instrumentation".Invensys. Archived fromthe originalon 25 February 2011.Retrieved29 March2011.
- ^"Pressure Transmitters".Invensys. Archived fromthe originalon 9 July 2012.Retrieved29 March2011.
- ^"Coriolis Flow Meters".Invensys. Archived fromthe originalon 26 February 2011.Retrieved29 March2011.
- ^"Valve Positioners".Invensys. Archived fromthe originalon 27 February 2011.Retrieved29 March2011.
- ^"Buoyancy Level Transmitters".Invensys. Archived fromthe originalon 9 July 2012.Retrieved29 March2011.
- ^"Temperature Transmitters".Invensys. Archived fromthe originalon 12 March 2011.Retrieved29 March2011.
- ^"IMServ | The Power Behind Energy Efficiency - UK".IMServ.
- ^"SimSci website".software.schneider-electric.Retrieved9 May2012.
- ^"Invensys Skelta website".Skelta.Retrieved29 March2011.
- ^"Triconex page on the Invensys Operations Management Website".Invensys. Archived fromthe originalon 7 September 2016.Retrieved29 March2011.
- ^"Wonderware".software.schneider-electric.Retrieved29 March2011.
External links
edit- Invensyson Schneider Electric website