Cameron May Sell Centrifugal Business
Company has already parted with reciprocating compression business
Cameron, which announced Jan. 20 that it was selling its reciprocating compression business to GE for US$550 million, also is considering the sale of its centrifugal compression business.
Jack Moore, Cameron chairman and CEO, said, “Exploring strategic alternatives for the centrifugal compression business is part of our ongoing effort to optimize our asset base with a focus on our core markets. We are committed to directing resources to businesses where we have the best opportunities to achieve sales growth, higher margins and market leadership.”
Cameron said it expects to complete the sale of its reciprocating compression business during the third quarter. It estimated the after-tax proceeds would be US$400 million. The business had sales of US$355 million for the year ended Dec. 31, 2012.
Citi is helping Cameron evaluate options for its centrifugal compression business, which had sales of US$365 million in 2012.