Emerson To Buy Avocent For $1.2 Billion

ST. LOUIS (AP) — Emerson Electric Co. said Tuesday it has agreed to buy Avocent Corp. for about $1.2 billion in cash, a move the company says will offer customers better management of their data centers.

The manufacturing and technology services company said it will offer $25 per share for Avocent, a 22 percent premium over Monday's closing price.

Huntsville, Ala.-based Avocent makes network equipment and software and had sales of about $657 million last year.

St. Louis-based Emerson expects the deal to close around Jan. 1.

Avocent shares jumped $4.34, or 21.2 percent, to close at $24.86 after reaching a 52-week high of $25.13 earlier in the session.