The board of ABB Ltd in India has cleared a proposal for acquiring the operating businesses of ABS Global Industries & Services, a wholly-owned subsidiary of Swiss engineering giant ABB Group, for 400 crore.

The acquisition, to be done as a slump sale on a going concern basis, will help bring about business synergies and could generate additional revenue of about 250 crore for the company annually, ABB said on Friday. ABB is a provider of power and automation technologies. The effective date of acquisition has been fixed as April 1, 2011. The deal entails acquisition of the transformer insulation division, including boards and components, LV breakers and switches and vacuum interrupters.

A slump sale is a deal involving contractual transfer or disposal of business undertakings or assets of a firm.