Parker Goes Shopping in U.K.
Parker Hannifin
(PH) - Get Parker-Hannifin Corporation Report
agreed to buy the U.K.'s Domnick Hunter, a maker of filtration, separation and purification products, in a transaction valued at about 216 million pounds, or around $382 million at the current exchange rate.
Domnick shareholders will receive 605 pence for each of their shares. The payment represents a premium of about 51% to the average price the stock fetched over the 30 days ended July 25, the last trading day before Domnick said it was in talks with a potential bidder.
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Cleveland-based Parker said Domnick employs more than 1,900 workers who will become part of its filtration group. The company had 2004 revenue of about $280 million. Parker said the acquisition should add to earnings after integration costs and savings within the first full year of the transaction.
With annual sales of more than $8 billion, Parker makes motion and control technologies and systems for a variety of commercial, mobile, industrial and aerospace markets.
Shares of Parker were gaining 84 cents to $66.84.
