ABB secures Baldor for $3.1bn cash

first_img whatsapp whatsapp Tuesday 30 November 2010 8:08 pm KCS-content by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesPeople TodayNewborn’s Strange Behavior Troubles Mom, 40 Years Later She Finds The Reason Behind ItPeople TodayZen HeraldNASA’s Voyager 2 Has Entered Deep Space – And It Brought Scientists To Their KneesZen Heraldmoneycougar.comThis Proves The Osmonds Weren’t So Innocentmoneycougar.comAlphaCute30 Rules That All “Hells Angels” Have To FollowAlphaCuteTaonga: The Island FarmThe Most Relaxing Farm Game of 2021. No InstallTaonga: The Island FarmReporter CenterBrenda Lee: What Is She Doing Now At 76 Years of Age?Reporter Center HIGH-TECH engineering manufacturer ABB has agreed a $3.1bn (£2bn) bid for US industrial electric motor maker, Baldor Electric Company.ABB will pay $63.50 per share in cash for NYSE-listed Baldor, a 41 per cent premium to Baldor’s closing price on 29 November. The deal values the company at $4.2bn, including $1.1bn of net debt.The deal is ABB’s first major US acquisition and fits with its strategy to both close a gap in its automation portfolio and strengthen its north American presence. The Swiss firm expects to generate more than $200m in annual synergies by 2015, more than $100m of which would come from annual cost synergies and the rest from global revenue synergies, it said.“Baldor’s product range and regional scope are highly complementary to ours,” said ABB chief executive Joe Hogan in the statement. ABB’s move was anticipated as it had said it was looking for acquisitions, in possibly the automation sector, or the US, and had accumulated a cash pile of $5.3bn at the end of its third quarter trading this year. ABB will benefit from Arkansas-based Baldor’s motor and control system ranges, including its high-efficiency motors and mechanical power transmission business.“We intend to build on Baldor’s excellent North American position to sell energy efficient drives, larger motors and generators,” said ABB Executive Committee member Ulrich Spiesshofer.Baldor, which was established in 1920 and now has about 7,000 employees, achieved 2009 sales of $1.52bn and net earnings of $59.8m.The deal has been unanimously approved by all shareholders, the companies said. Citi served as financial adviser to ABB and UBS Investment Bank served as financial adviser to Baldor. Sharecenter_img More From Our Partners Brave 7-Year-old Boy Swims an Hour to Rescue His Dad and Little Sistergoodnewsnetwork.orgRussell Wilson, AOC among many voicing support for Naomi Osakacbsnews.comNative American Tribe Gets Back Sacred Island Taken 160 Years Agogoodnewsnetwork.orgFlorida woman allegedly crashes children’s birthday party, rapes teennypost.comPolice Capture Elusive Tiger Poacher After 20 Years of Pursuing the Huntergoodnewsnetwork.orgA ProPublica investigation has caused outrage in the U.S. this weekvaluewalk.comSupermodel Anne Vyalitsyna claims income drop, pushes for child supportnypost.comAstounding Fossil Discovery in California After Man Looks Closelygoodnewsnetwork.org980-foot skyscraper sways in China, prompting panic and evacuationsnypost.comBiden received funds from top Russia lobbyist before Nord Stream 2 giveawaynypost.comMark Eaton, former NBA All-Star, dead at‘Neighbor from hell’ faces new charges after scaring off home buyersnypost.comKiller drone ‘hunted down a human target’ without being told tonypost.comI blew off Adam Sandler 22 years ago — and it’s my biggest regretnypost.comMatt Gaetz swindled by ‘malicious actors’ in $155K boat sale boondogglenypost.comSidney Crosby, Alex Ovechkin are graying and frayingnypost.comInside Ashton Kutcher and Mila Kunis’ not-so-average farmhouse estatenypost.comUK teen died on school trip after teachers allegedly refused her Show Comments ▼ ABB secures Baldor for $3.1bn cash Tags: NULLlast_img

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