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Rolls-Royce Sells N.A. Civil Nuclear Services Biz to Westinghouse

Sale will expand the Westinghouse presence in nuclear power and services, adding new digital offerings

Rolls-Royce agreed to sell its North American civil nuclear services businesses to Westinghouse Electric Co. for an undisclosed price. The sale is the latest result of Rolls’ ongoing review of strategic options for its various business units, and of an effort to simplify the group structure "and focus on meeting the vital power needs of our customers."

According to Westinghouse president and CEO Patrick Fragman, the Rolls-Royce businesses will “strengthen our ability to serve the nuclear operating fleet through an expanded presence in our core business, while adding new digital offerings.”

Further, the new services will “enhance the company’s digital innovation efforts to optimize customer planning and maintenance, and provide engineering solutions to maximize cost effectiveness and obsolescence risk,” Westinghouse stated.

Westinghouse Electric develops nuclear-power technologies and systems, including nuclear fuel, service and maintenance, instrumentation, control and design of nuclear power plants.

The deal, still subject to customary closing terms and regulatory approvals, also will transfer to Westinghouse the Rolls-Royce operations at Mondragon, France, and Gateshead, UK, currently part of the Power Systems business unit.

The sale does not include instrumentation and controls businesses in France (reportedly, those operations are still under review), nor Rolls’ nuclear-power reactors business in the U.K.

Rolls’ nuclear services business offers engineering, software, data solutions, maintenance optimization, and field services to utilities and power companies.

“Our North America services business offers great opportunities for Westinghouse as a leading player in the nuclear energy industry," according to a statement by Rolls-Royce CEO Warren East. "We believe this transaction represents the best outcome for this part of our civil nuclear operations and its people.”

Westinghouse develops nuclear  supplies products and technological assistance to nuclear utilities, said the Rolls-Royce deal would boost its nuclear power plant services and digital offerings.

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