St. Louis, Missouri: Emerson has announced that the sale of its two businesses, Leroy-Somer and Control Techniques to Nidec Corporation, has been completed for a purchase price of USD 1.2 billion. The deal, the announcement said, strengthens Emerson’s balance sheet and increases the company’s capacity for investment.
The company said that Leroy-Somer is based in France and Control Techniques is based the United Kingdom, and they collectively have approximately 9,500 employees around the world. Emerson said that for more than 30 years, the two companies have been manufacturers and suppliers of alternators, drives and motors, with a combined FY2015 revenue of approximately USD 1.7 billion.
“This transaction marks another step in our strategic portfolio repositioning to align our businesses for long-term growth,” said David N Farr, Chairman and CEO of Emerson. “With the sales of Leroy-Somer, Control Techniques and Network Power, we have further strengthened our balance sheet so we can continue to acquire valuable assets that enhance the ability of our global business platforms to serve our customers.”