Status: Clearance

Acquirer: Toshiba Energy Systems & Solutions Corporation (Japan)

Acquired: EtaPRO business of GP Strategies Corporation

Value: $40 million

Industry Tags: Infrastructure Services; Energy

On May 8, 2021, GP Strategies Corporation a publicly traded (NYSE: GPX) U.S. company providing organizational and technical performance solutions, entered into an agreement to sell its EtaPRO business, which services the global power industry by providing “a real-time digital platform for improving the efficiency and reliability of power generating assets through empirical and physics-based digital twin technology combined with traditional vibration frequency analysis for detecting and diagnosing equipment deterioration or operating abnormalities in their earliest stages,” to Toshiba America Energy Systems Corporation, a Wisconsin based provider of turbine/generator equipment and services for the energy industry and “an affiliate of Kawasaki, Japan-based Toshiba Energy Systems & Solutions Corporation,” a Japanese company that split off from Toshiba Corporation in 2017. (Press Release, GP Strategies Corporation Form 8-K, Ex-99.1, May 10, 2021, SEC Filing.) “Closing of the transaction is subject to customary closing conditions, including a review by the Committee on Foreign Investment in the United States (CFIUS), and is anticipated to occur by the third quarter of 2021.” (Id.; see Section 8.01(a), Asset Purchase Agreement, GP Strategies Corporation Form 8-K, Ex-2.1, May 10, 2021, SEC Filing.)  “On October 7, 2021, the Company and LTG received CFIUS Approval.” (GP Strategies Corporation Form 8-K, Oct. 8, 2021, SEC Filing.)

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