Emerging markets, such as the Middle East and North Africa (Mena), are set to form a key part of Swiss power firm ABBs growth plans, as the group unveiled its strategy for 2015 to 2020 at an event in London on 9 September.
Speaking at ABBs Capital Markets Day on 9 September, ABB CEO Ulrich Spiesshofer revealed the company was looking for an average revenue growth of 4.7 per cent between 2015 and 2020, with emerging markets such as Mena set to be a key focus.
Asia, the Middle East and Africa (AMEA) currently contributes about 37 per cent of ABBs total revenue, about $15.3bn. The groups chief financial officer (CFO) Eric Elzvik, also speaking at the event on 9 September, said emerging markets were planned to contribute to two thirds of the forecast growth between 2015 and 2020.
There are huge opportunities for growth in the Middle East, Frank Duggan, head of AMEA at ABB, told MEED. The area will be a higher than average contributor to the revenues.
The rail, airports, downstream sectors will offer increasing opportunities for ABB, he added.
Also at the event in London, ABB announced plans for a $4bn share buyback scheme, expected to commence on 16 September 2014.
Spiesshofer said the share buyback scheme would let shareholders participate in good part of the business, and return cash to shareholders.