agreed to buy
aerospace division for $333 million.
Eaton, a Cleveland-based diversified industrial manufacturer, said the transaction is expected to close later this year.
PerkinElmer's Beltsville, Md.-based aerospace division makes sealing and pneumatic systems for large commercial aircraft and regional jets. It had sales of $150 million and earnings before interest, taxes, depreciation and amortization of $35 million for the 12 months ended June 30. It employs 950 people in five locations -- three in the U.S., one in France and one in Indonesia.
"This acquisition will build upon Eaton's strengths in aerospace conveyance by enabling a more complete fluid and air system solution," said CEO Alexander M. Cutler. "It also complements our recently announced acquisition of the fluid and air division of Cobham. The acquisitions of the PerkinElmer and Cobham aerospace businesses will bring our total aerospace business to about $1.2 billion in annual revenue."
Boston-based PerkinElmer also said it plans to divest itself of its Fluid Sciences business segment to focus on its higher-growth Health Sciences and Photonic markets. PerkinElmer said it is in discussions to sell its semiconductor and fluid testing businesses. All the divestitures are expected to be completed in the fourth quarter, with aggregate proceeds of $400 million from the sale of the Fluid Sciences business segment.
On Thursday, Eaton shares rose 2 cents to $61.03 and PerkinElmer shares rose 3 cents to $20.63.