GE Vernova To Take Full Control of Mexico-Rooted Prolec GE in USD 5.28bn Deal

In a landmark move that deepens its strategic ties to Mexico and bolsters its global electrification ambitions, NYSE-listed energy company GE Vernova has announced it will acquire the remaining 50% stake in grid equipment supplier Prolec GE from Mexican industrial group Xignux for USD 5.3bn.

The acquisition brings an end to their nearly 30-year joint venture, turning Prolec GE into a wholly owned subsidiary of GE Vernova and reinforcing the company’s position in North America’s rapidly evolving energy landscape.

Founded in 1995 as a joint venture between General Electric and Xignux, Prolec GE has become a critical supplier of electrical transformers and grid equipment with a strong manufacturing base in both Mexico and the United States. Headquartered in Monterrey, Prolec GE employs 10,000 people across seven production facilities, including two in Mexico and five in the U.S. Its operations are deeply rooted in Mexico’s industrial sector and energy infrastructure.

GE Vernova, now a standalone energy company following its spin-off from General Electric, views the deal as a pivotal move to support booming demand for grid technologies in North America – driven by data centre growth, electric vehicle adoption, renewable energy expansion, and broader electrification trends. The company highlighted Prolec GE’s stable and contracted cash flows, with approximately 70% of generation under long-term contracts, and its capacity to serve both North American and global markets.

The acquisition, expected to close by mid-2026, will be funded equally with cash and debt. GE Vernova expects it to be immediately accretive, with projected annual synergies of USD 60-120mn, and revenue from Prolec GE estimated at around USD 3bn in 2025 with 25% EBITDA margins.

The deal also builds on Prolec GE’s USD 300mn in capacity expansion and innovation investments across the U.S. and Mexico, including a recently announced USD 140mn expansion in Goldsboro, North Carolina – highlighting the company’s distinctive cross-border industrial footprint.

GE Vernova employs around 18,000 people across the U.S., powering communities and industries nationwide. Its ties to Mexico date back over 129 years, and today it operates five sites in the country with a workforce of more than 1,700. GE Vernova’s equipment currently supports 38 GW of electricity generation capacity in Mexico.