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ABB to purchase American level instrument company

Author : staff

05 June 2010

Veli-Matti Reinikkala, head of ABB’s Process Automation division, announced his company has agreed to acquire K-TEK, which specialises in level instrumentation for the oil and gas industry. Terms of the transaction were not disclosed and the agreement is subject to customary regulatory approvals. Mr. Reinikkala said he expected the purchase would be completed by the end of June, 2010.

K-TEK headquarters on Swamp Road, in Prairieville, Louisiana. Google Map Image
K-TEK headquarters on Swamp Road, in Prairieville, Louisiana. Google Map Image

K-TEK is based in Prairieville, Louisiana, which is a suburb of Baton Rouge, located approximately 100 kilometres west of New Orleans. It has annual revenues of approximately $50 million and employs more than 250 people with operations in China, The Netherlands, India and South Africa in addition to the US.  The company will join the Measurement Products business unit within ABB’s Process Automation division.

K-TEK specialises exclusively in level instrumentation and says it has an installed base of over 350,000 instruments worldwide. It was founded in 1975, when it offered its first magnetic level gauge (KM26, see photo) with extruded outlets and precision engineered floats. It claims several innovations in its magnetostrictive level transmitters, but has also branched out into other methods of level measurement, such as laser, vibrating forks, guided wave radar, ultrasonic transmitters, and a full line of point level switches, plumb bob devices, and field controllers.

Mr. Reinikkala said that although K-TEK offers a broad range of level detection instruments, as well as pressure and temperature switches, it will have “no overlap with ABB’s existing product line.”

“This acquisition fills an important space in our product line,” he explained. “K-TEK is well established, particularly in the oil and gas industry, which is a growth area for ABB.  We see a lot of potential for synergy between ABB’s extensive geographic reach and exposure to other industries, and K-TEK’s depth in level detection technology.”

For some entertaining videos of K-TEK’s level instruments, set to music, go here

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