Industrial manufacturing company Pentair plc has sold its Valves & Controls business to Emerson Electric Co. in a $3.15bn deal.
Headquartered in Schaffhausen, Switzerland, Pentair’s Valves & Controls business is a leading provider of valve solutions and services with nearly 7,500 employees around the world. It will be integrated into Emerson’s Automation Solutions platform.
With this takeover, US-based Emerson’s final control portfolio now includes control valves, pressure relief, butterfly gate, globe, ball and check valves, and an extensive global network of more than 200 service centres.
The acquisition will serve to grow the company’s global footprint in automation and expand its presence its key markets such as chemical, power, refining, mining and oil and gas.
The deal is subject to customary working capital adjustments.
Mike Train, Executive President of Emerson Automation Solutions, highlighted, “Pentair’s Valves & Controls business fits extremely well with Emerson’s existing portfolio of Fisher control valves and regulators and Bettis actuators. The combination of these two leading businesses will allow us to better support and help customers select the right product and maintain it for the life of the asset.”
“The combination of these two leading businesses will allow us to better support and help customers”
Mike Train, Executive President of Emerson Automation Solutions
Randall J. Hogan, Pentair Chairman and CEO, said that the sale of its Valves & Controls business unit will strengthen Pentair’s balance sheet and “affords us the opportunity to advance our disciplined capital allocation strategy.”
Emerson is an American multinational corporation headquartered in Missouri, US. In 2015, it repositioned its portfolio into two core business platforms: Automation Solutions and Commercial & Residential Solutions.
With this divestment, Pentair will now report the performance of its business in two segments: Water and Electrical.