Emerson Considers Alternatives for Power Transmission UnitThomas Mulier
Emerson Electric Co. is studying strategic alternatives for its power transmission solutions unit as it considers possible acquisitions or divestments.
The Florence, Kentucky-based division, with 2013 revenue of more than $600 million and 3,000 employees worldwide, makes couplings, bearings and conveying components under brands such as Browning and Jaure, Emerson said today in a statement. A decision will be announced by yearend.
Emerson, a St. Louis, Missouri-based manufacturer of equipment for power plants and technology for refrigerators, has sold units for a combined $456 million in the past five years and spent $3.5 billion on buying businesses, data combined by Bloomberg show. Chief Executive Officer David Farr said in November that he planned $1.5 billion of acquisitions in 2014.
The shares have fallen 4.9 percent this year, while the Standard & Poor’s 500 Industrials Index gained 3.1 percent.