Galvanizing and welded equipment specialists and engineering firm AZZ Inc., said Friday that an agreement to divest itself of its Nuclear Logistics business unit to Westinghouse Electric Company had been scraped in favor of a "teaming agreement" in which Westinghouse and AZZ would jointly market their safety-related services to the nuclear industry.
The new arrangement was set up "in lieu of a previously announced divestiture," the company said.
"As the world pivots to cleaner energy, this agreement reflects our shared commitment to the nuclear industry and provides our mutual customers high-quality design, manufacturing, testing, qualification, and commercial grade dedication services while supporting our critical global energy needs," said David Howell, Senior Vice President, Westinghouse Operating Plants Business
Tom Ferguson, Chief Executive Officer of AZZ, commented, "Both parties made significant progress but it became apparent that the market needed us to focus on building our heritage businesses. We are confident that this alliance represents the most effective and expeditious path forward. We are pleased to move forward on an agreement that leverage's Westinghouse's OEM strength and NL's aftermarket capabilities to offer our customers a higher level of service and solutions. We believe this will be a mutually beneficial agreement for both parties."
Nuclear Logistics LLC., a wholly owned subsidiary of AZZ, is the largest third-party supplier of safety related equipment to the nuclear industry and has more than 180 employees that are knowledgeable in areas such as nuclear qualification and testing.
ZZ Inc. is a global provider of galvanizing, welding solutions, specialty electrical equipment and highly engineered services to the markets of power generation, transmission, distribution and industrial in protecting metal and electrical systems used to build and enhance the world's infrastructure.