General Electric Co Enters Into An Agreement To Acquire Industrea Limited; GE Transportation, A Unit Of GE Signs A Binding Letter Of Intent To Acquire Fairchild International

General Electric Co announced that it is pursuing acquisitions of two underground mining equipment manufacturers in support of the global expansion of its mining business. GE has entered into an agreement to acquire 100% of Industrea Limited. The transaction is valued at approximately AUD700 million, which represents a 5.5x EBITDA multiple based on full-year financial data as of December 31, 2011. GE Transportation, a unit of GE, signed a binding Letter of Intent (LOI) to acquire Virginia-based, independently owned and operated Fairchild International. The company employs approximately 150 people and manufactures a wide range of underground mining equipment, including diesel and battery-powered scoops, continuous miners, haulage systems, shield haulers, and maintenance vehicles. The transaction is expected to close in the third quarter of 2012. Terms of the agreement were not disclosed. Both companies will become part of GE Transportation’s global mining business which utilizes the people, technologies, and products from across GE to help its customers solve their toughest mining challenges.