Mitsubishi Heavy Industries has concluded and signed an agreement with United Technologies Corporation (UTC) under which MHI will acquire Pratt & Whitney Power Systems, the small and medium-size gas turbine business unit of aeroengine manufacturer Pratt & Whitney. PWPS engages primarily in the engineering and sales of aero-derivative gas turbines and related power generation systems, as well as gas turbine services. The company has approximately 430 employees. The acquisition includes Turboden s.r.l. of Italy, a manufacturer of Organic Rankine Cycle turbines and an affiliate company of PWPS.
The acquisition follows naturally from a period of collaboration between MHI and P&W, which have worked together in aeroengine production, including a recent joint development of a new engine for the Mitsubishi Regional Jet. It is expected that the two companies will maintain their collaborative relationship in the supply of engine parts for gas turbines and development of new machines as MHI targets expansion in the aero-derivative gas turbine business.??
MHI, which has focused its gas turbine business principally on large-capacity, high-efficiency systems, will significantly diversify its power generation product range with the acquisition of PWPS, which has delivered 1700 units to date worldwide. Significant growth is anticipated in applications requiring a flexible power source complementary to a renewable-energy power source. Robust market demand is also expected in small power sources for application in emerging markets.
PWPS's main products to date have been 30 MW class machines, but currently the company is developing 60 MW class models, expected to boost its market share significantly.?? Turboden's ORC turbines have the capability to generate power or supply hot water using a relatively low-temperature heat source, e.g. biomass, factory waste heat or geothermal energy. Until now the company has sold more than 300 units in 20 countries, primarily in Europe. In Japan, increasing opportunities are emerging to use this technology in biomass and geothermal applications. ?
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