Electrical and power management solutions manufacturer Eaton Corporation recently announced that it has entered into an agreement to acquire Cooper Industries, a provider of products for the mass notification and life safety markets, for $11.8 billion
In a statement, the company said that the acquisition of would increase the newly combined company’s "capabilities and geographic breadth."
When the acquisition closes, which is expected during the second half of 2012, Eaton and Cooper will be combined under a new company incorporated in Ireland. Additionally, the new company is expected to be called "Eaton Global Corporation Plc" or a variant thereof and will be led by Eaton’s current Chairman and CEO Alexander M. Cutler.
"This compelling combination of Eaton’s power distribution and power quality equipment and systems with Cooper’s diversified component brands, global reach and international distribution creates a game changer to serve the electrical industry," said Cutler. "We’re excited about bringing together two great companies to create shareholder value and continue our global growth. This combination significantly expands our ability to better serve our customers with their demands for critical energy saving technologies as they address the impact of the world’s growing energy needs."
"We are extremely pleased to become part of Eaton’s global electrical business," said Kirk Hachigian, chairman and chief executive officer of Cooper. "This combination creates endless opportunities to accelerate growth and serve our global customers through combining technology, distribution, penetrating important vertical industries and entering new emerging markets. The two companies are a perfect fit in every respect."