Thursday, January 13, 2011

Gores Group Sells Lineage Power

Los Angeles-based private equity firm The Gores Group has sold portfolio firm Lineage Power, in a deal worth $520M. The deal was announced today by buyer GE, which said the acquisition will "open the door" for the firm to deploy its technology in the power conversion space. Lineage makes power rectifiers and other power supply related products. GE said Lineage had revenues of approximately $450M in 2010, and that the deal values the firm at eight time enterprise value based on 2011 EBITDA. Lineage and The Gores Group was advised by Morgan Stanley & Co., with GE advised by Deutsche Bank.