ITT To Enhance Its Global Analytical Instrumentation Business With Acquisition Of O.I. Corporation

ITT Corporation (NYSE:ITT) and O.I. Corporation (NASDAQ:OICO) today announced that they have entered into a definitive agreement for ITT to acquire all outstanding shares of O.I. Corporation, “OI”, for approximately $29 million.

OI’s Board of Directors has unanimously approved the transaction, which is subject to approval from OI’s shareholders and other closing conditions, and is expected to close in late 2010.

Enhancing ITT Analytics

OI is a leading provider of innovative instrumentation for laboratory and environmental testing in the pharmaceutical, petrochemical, power and industrial markets. The company’s portfolio will enhance ITT’s Analytics business, which was formed earlier this year with ITT’s acquisition of Nova Analytics.

“We see very compelling growth characteristics in the analytical instrumentation market, and the addition of OI is right in line with our strategy to acquire attractive companies whose businesses are a nice complement to our existing portfolio,” said Gretchen McClain, ITT senior vice president and president of its Fluid and Motion Control group.

“The potential to add a company with the expertise and reach of OI not only strengthens our portfolio, but also gives us a great opportunity to leverage our European brands and channels to bring OI’s technologies to those markets,” said Chris McIntire, president of ITT Analytics.

OI was founded in 1963, and specializes in innovative total organic carbon (TOC) analyzers and gas-chromatography related instrumentation, as well as consumables and services. OI reported 2009 revenues of $20 million and projects full-year 2010 revenue of $25 million. It is headquartered in College Station, Texas, and employs 125 people. Its products are sold worldwide by direct sales, independent representatives, and distributors.

Positioning OI for Growth

J. Bruce Lancaster, OI chief executive officer and chief financial officer said, “We believe this transaction represents an outstanding opportunity for our shareholders, customers, and employees. As part of the ITT family, we will have access to substantially greater resources to develop, market, and distribute our innovative products.”