Emerson sweetens Rockwell Automation offer to $29 billion

By Thomas Black and John Bowker, for Bloomberg Technology

Nov 16, 2017

Get Plant Services delivered to your inbox Monday through Friday! Sign up for  Plant Services' complimentary Smart Minute (Monday-Thursday) and Smart Digest  (Friday) e-newsletters to get maintenance and reliability know-how you can put  to use today, plus the latest manufacturing news from around the Web, white  papers, and more. Learn more and subscribe for free today.

Emerson Electric Co. Chief Executive Officer David Farr made a third proposal to buy Rockwell Automation Inc., sweetening the deal by 4.7 percent as he seeks to cobble together a one-stop shop for industrial automation.

The cash-and-stock offer of $225 a share values Rockwell Automation at about $29 billion. That represents a 30 percent premium to the 90-day volume-weighted average share price as of Oct. 30, Emerson said in a statement Thursday.

The Milwaukee-based company twice has rejected Emerson offers – at $200 a share in August and $215 a share in October – as Rockwell maintained it was better off alone with a successful Logix product that gives customers a single software platform to build on instead of learning multiple ones. The company has attempted to move into process automation, where Emerson has a stronghold, to accelerate growth.

Rockwell said it had received the proposal and would respond in due course.

Read the full story.


Show Comments
Hide Comments

Join the discussion

We welcome your thoughtful comments.
All comments will display your user name.

Want to participate in the discussion?

Register for free

Log in for complete access.


No one has commented on this page yet.

RSS feed for comments on this page | RSS feed for all comments