Emerson Electric to acquire Avocent for $1.2 billion
06 Oct 2009
The $24.8-billion diversified manufacturing and technology giant Emerson Electric Co today said it plans to acquire global IT infrastructure management solutions leader Avocent Corporation in a $25 all-cash deal amounting to $1.2 billion.
Emerson expects the transaction to enhance its delivery of total infrastructure management solutions to its data centre customers around the world and deliver software solutions more efficiently to its customers worldwide.
Established in 1890 as Emerson Electric Manufacturing Co to manufacture electric motors using patented technology, Emerson Electric, based in St. Louis, Missouri, is now global leader in network power, process management, industrial automation, climate technologies, and appliance and tools businesses.
The Avocent Board has unanimously endorsed the terms of the all-cash tender offer and the transaction would close around 1 January 2010, pending customary regulatory approvals and acceptance of the offer by Avocent stockholders.
Huntsville, Alabama-based Avocent Corporation is the leading global supplier of IT infrastructure management solutions for enterprise data centres, small- to medium-size businesses.
Avocent's IT infrastructure management technology is recognized as a leader in managing IT device operating and performance information. These configuration and monitoring technologies complement Emerson Network Power's power systems, energy management and precision cooling solutions. Emerson's data center-related revenues were approximately $2.6 billion in fiscal 2008.
