Rolls-Royce has agreed to sell its North American civil nuclear services businesses to Westinghouse Electric Company. 

“This follows a review of options for the businesses and continues our drive to simplify the Group and focus on meeting the vital power needs of our customers,” the company said.

Rolls-Royce operates 11 sites in Canada, France, the United Kingdom and the United States.

The sale includes civil nuclear services businesses in the USA and Canada along with sites in Mondragon, France, and Gateshead, UK, which are part of the Power Systems business unit. 

It does not include the instrumentation and controls business based in Grenoble, France, which remains under review. It also does not include UK nuclear new-build operations or small modular reactor activities. In 2018, the businesses subject to the agreement reported revenues of $70 million with some 500 employees.

Westinghouse said in a statement that acquisition of Rolls-Royce would:

  • Expand Westinghouse’s operating plant services capabilities;
  • Enhance the company’s digital innovation efforts to optimise customer planning and maintenance, and provide engineering solutions to maximise cost-effectiveness and obsolescence risk;
  • Support both Westinghouse’s and Rolls-Royce’s global customer base through an expanded presence and synergies between both companies, enhancing customer offerings and experience in field services and plant automation; and
  • Further enable Westinghouse’s growth while supporting customers in the North American and European nuclear markets.

The merger will bring together two significant nuclear businesses in the US and the UK. It could also boost growth for Westinghouse, which emerged from bankruptcy in August 2018 as a Canada-based Brookfield. 

Today, Rolls Royce says it serves 400 airlines, 160 armed forces, 70 navies, and 5000 power and nuclear customers. In January 2018, it began on a restructuring programme to identify changes and sustain its momentum.