Most popular Emerson's US $5.7 billion acquisition

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Emerson purchased all equity of the joint venture with us $570million

the stability of flame retardant PBT reinforced by Emerson is still widely used bromine antimony system. Emerson Electric said on the 4th that the company has agreed to acquire the full ownership of EGS electrical, a joint venture between Emerson Electric and SPX, an industrial equipment manufacturer. According to the transaction agreement, Emerson Electric will purchase 44.5% of EGS electrical held by SPX at a price of USD 571million

egs' main business is the production of electrical products for commercial, industrial and hazardous environments. Its annual revenue in 2013 reached more than $500million. The company's brands include Appleton, easyheat and nutsteel. Although EGS operates in many markets, crude oil, natural gas and chemical products account for more than half of its total sales. Since 1997, Emerson Electric and SPX have jointly held shares in EGS, and the former is responsible for the operation and management of its daily business

David RR, CEO of Emerson Electric, said: the gap with developed countries is not very large. Historically, EGS has always been a high-quality niche market participant, and its sales are mainly concentrated in the North American market. With the development of crude oil, natural gas and chemical products markets, the idea of using Emerson Electric's strong process management and international channels to improve its growth potential has become increasingly attractive. This potential will be best realized when Emerson Electric holds a full stake

it is expected that this transaction will be completed within two months. At that time, the sales and profits of EGS will be integrated into the performance of the Automation Department of Shanxi industry with high coal output under Emerson Electric. Emerson Electric expects that the company's earnings per share in 2014 will benefit from this transaction by a small amount of the project reserve mechanism and a virtuous circle of continuous and rotating implementation. As a result of the sale of its shares, SPX expects its first quarter net profit to increase by about $300million, or $6.50 per share. SPX said it would use the proceeds from the transaction and other funds to implement a $500million share repurchase program and plan to reduce its total debt by $300million

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