General Electric Co. announced that it is raising its stake in Sweden-based Arcam AB (publ) to more than 90% from 77%.
GE, through its 100% subsidiary GE Sweden Holdings AB, struck a deal with both Elliott Management and Polygon Investment Group to purchase their outstanding Arcam shares at 345 Swedish Krona per share. The target produces metal components using electron beam melting technology that it developed. The resulting products are used in the aerospace industry and for orthopedic implants.
The transaction is expected to close Dec. 29, after which GE will hold approximately 95% of Arcam, the conglomerate said.
The company plans to initiate a compulsory process, under the Swedish Companies Act, to acquire all remaining outstanding shares of Arcam. It added that it will also request that Arcam delist its shares on the Nasdaq Stockholm exchange.
GE purchased a controlling stake in Arcam in 2016.
As of Dec. 26, US$1 was equivalent to 8.34 Swedish Krona.