Group 1 - GE Vernova has entered into a binding agreement to divest its Proficy manufacturing software business to TPG for $600 million, with potential additional proceeds based on future outcomes [1][2] - Proficy accounts for approximately 20% of GE Vernova's Electrification Software revenues and will become a standalone entity focused on software solutions [1][2] - The transaction is expected to close in the first half of 2026, contingent upon employee consultations, regulatory approvals, and other standard closing conditions [2] Group 2 - Proficy serves over 20,000 customers with integrated solutions aimed at enhancing efficiency and connectivity across industrial operations [2] - TPG plans to invest in Proficy through its US and European private equity platform, TPG Capital, while GE Vernova will retain a board observer seat post-transaction [1][2] - GE Vernova's CEO emphasized the importance of this agreement for Proficy's independent success and the reinvestment of proceeds into core businesses, particularly in electrification and decarbonization solutions [3] Group 3 - Proficy's software business addresses various industrial challenges in discrete, process, and hybrid manufacturing, as well as metro transit and infrastructure applications [4] - TPG partner highlighted the ongoing renaissance in manufacturing driven by the need for increased throughput, optimized operations, and augmented workforces [5] - Proficy's integrated and AI-enabled solutions are designed to help customers run, monitor, and improve production processes [6]

Core Viewpoint - GE Vernova has agreed to sell its industrial software business Proficy to TPG for $600 million as part of its cost-cutting strategy, with the deal expected to close in the first half of 2026 [1][3]. Group 1: Financial Impact - The sale of Proficy, which accounts for approximately 20% of GE Vernova's electrification software revenue, comes as the company's electrification software revenue more than doubled to $332 million in Q2 compared to the previous year [1]. - GE Vernova anticipates a cost increase of $300 million to $400 million in 2025, and is looking to mitigate these costs through pricing adjustments [2]. Group 2: Strategic Moves - The Proficy deal will allow it to operate as a standalone software business, with TPG managing the business while GE Vernova retains a board observer seat [3]. - GE Vernova is also investing $600 million in U.S. factories over the next two years to strengthen its supply chain and meet rising global electricity demand [2].

Group 1 - GE Vernova, a U.S. power equipment maker, has agreed to sell its industrial software business Proficy to asset management firm TPG for $600 million [1] - This sale is part of GE Vernova's broader cost-cutting measures aimed at improving financial performance [1]