GE Energy to acquire BHA Group Holdings, Inc.,a leader in air quality control

ATLANTA, Ga., June 3, 2004 — GE Energy has signed a definitive agreement to acquire BHA Group Holdings, Inc., a provider of air quality control products and services, in an all cash transaction for $38 per share or approximately $260 million. Upon consummation of the transaction, BHA will become a wholly owned subsidiary of GE.

Based in Kansas City, Missouri, BHA (BHAG) is a NASDAQ quoted company with operations in 11 countries, supplying parts, services and engineered upgrades to reduce particulate matter emissions for a broad range of power generation and industrial applications, as well as ePTFE membrane products for use in a variety of industrial and consumer products.

Following the closing of the acquisition, BHA will be integrated with GE Energy’s portfolio of environmental services.

GE Energy’s environmental services business is on track to achieve more than 50% organic growth in 2004 and is well positioned to achieve double-digit growth over the next three years. This growth is largely attributable to an increased focus on offerings designed to improve air quality while optimizing total plant performance. The acquisition will add complementary particulate matter control capabilities to GE Energy’s existing combustion control and emissions monitoring solutions, producing a more complete solution for the global customer base of both companies. The acquisition also adds ePTFE membrane technology to the GE portfolio, with multiple applications for this technology anticipated across GE’s businesses. BHA is the latest of several acquisitions and product announcements designed to broaden GE Energy’s offerings in renewable and cleaner energy production.

“Adding the capabilities of BHA will better enable GE Energy to address our customers’ growing need to reduce particulate matter emissions. BHA’s focus on the development of advanced technology parts and services that help improve system performance is a perfect complement to GE Energy’s strategy of achieving the latest emission control standards while simultaneously delivering total plant performance improvements,” said John Rice, president and CEO of GE Energy.

“In GE Energy, we are joining a company with one of the world’s largest installed bases of power generation equipment, relationships with leading utility companies, and advanced environmental technologies,” said James E. Lund, president and CEO of BHA. “This union will create an expanded environmental solution for our customers, and produce multiple application opportunities for our emission control and ePTFE membrane technology across the GE portfolio.”

The acquisition is subject to customary closing conditions including regulatory approvals and BHA stockholder approval. The acquisition is expected to close in late summer.

Allen & Company LLC and Robert W. Baird & Co. Incorporated acted as financial advisors to BHA.

About BHA Group Holdings, Inc.

BHA began as a division of Standard Havens, Inc. in 1975, and became a publicly owned company in 1986. Fiscal 2003 revenues were $182 million. BHA is a world leader in innovative filtration technology. Its two principal operating subsidiaries are BHA Group, Inc., a leading global supplier of replacement parts and services for industrial air pollution control systems, and BHA Technologies, Inc., which manufactures and markets expanded polytetrafluoroethylene (ePTFE) membrane products for use in a variety of industrial and consumer products.

About GE Energy

GE Energy (www.gepower.com) is one of the world’s leading suppliers of power generation and energy delivery technology, with 2003 revenues of nearly $18.5 billion. Based in Atlanta, Georgia, GE Energy provides equipment, service and management solutions across the power generation, oil and gas, transmission and distribution, distributed power and energy rental industries.

For more information, contact:

GE Energy:
Dennis Murphy
GE Energy
+1 678 844 6948
dennis.murphy@ps.ge.com

Ken Darling or Howard Masto
Masto Public Relations
+1 518 786 6488
kenneth.darling@ps.ge.com
howard.masto@ps.ge.com

BHA Group Holdings, Inc.:
James C. Shay
BHA Group Holdings, Inc.
+1 816 356 8400 ext. 336
jshay@bha.com

Previous articleCalifornia ISO gears up for summer
Next articleSouthern Maryland Electric Cooperative selects CGI as its implementation partner to deliver a turnkey operations solution

No posts to display