Photo: Eaton via Cleveland.com
Diversified industrial manufacturer Eaton Corporation announced today it has agreed to purchase electrical equipment supplier Cooper for $11.8 billion in what would be the third-largest acquisition of the year. Shares of Cooper are up 25 per cent in pre-market trading on the announcement.
Market speculation of the merger has been swirling since at least 2007.
Vertical Research’s Jeff Sprague practically nearly nailed the purchase price that month, suggesting at $10 billion buyout based on Cooper’s market cap.
Specializing in electrical power hardware, Eaton’s sells equipment in more than 150 countries and is the largest company in Cleveland.