DNV KEMA and GL Group: A merger of majors
By: SGN Staff
Quick Take: In the early days of the smart grid revolution, we often wondered who would be the Google or the Amazon or the Facebook of the smart grid. Lo and behold, the big winners are not necessarily coming from the upstarts (though we have a few success stories). For the most part, the winners are proving to be the larger "traditional" companies. They have the wherewithal to withstand the long, slow utility sales cycle. And they have the clout to operate all over the world, to cash in on the fact that smart grid is a global phenomenon. - By Jesse Berst
DNV, the parent company of consulting, testing and certification services firm DNV KEMA, will merge with GL Group, a multi-national company that provides assurance, consulting and classification services for the maritime and energy industries.
DNV KEMA is no stranger to mergers. DNV merged with KEMA at this time last year to create the energy consulting, testing and certification company that continued KEMA's long-term and high profile involvement in smart grid.
"The merger rests on a strong strategic rationale, and responds to challenges of increased globalization, rapid technological change and the need for sustainable development," said DNV Group CEO Henrik O. Madsen, who will head the newly formed company. "The merger with DNV supports our long-term goal of being recognized as one of the most respected technical assistance and advisory companies in the world," commented GL Group CEO Erik van der Noordaa.
In addition to smart grid-related services like renewable energy certification and advisory services, DNV GL will also maintain a strong presence in power transmission and distribution - and plans to build a stronger focus on R&D and innovation.
The DNV Foundation will hold 63.5% of the shares of the new company, and GL owner Mayfair SE will retain the balance.
DNV GL Group will have three business elements: Maritime, Oil & Gas and Energy and Business Assurance. The company will be based in Norway, while the energy unit will be headquartered in the Netherlands.
Jesse Berst is the founder and chief analyst of Smart Grid News.com, the industry's oldest and largest smart grid site. A frequent keynoter at industry events in the U.S. and abroad, he also serves on advisory committees for Pacific Northwest National Laboratory and the Institute for Electric Efficiency. He often provides strategic consulting to large corporations and venture-backed startups. He is a member of the advisory boards of GridGlo and Calico Energy Services.
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