Deals
Emerson’s Revamp Via Dealmaking Gets Panned Again by Investors
- Shares drop after acquisition of Pentair valves business
- Purchase follows Emerson’s recent $5.2 billion in asset sales
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Emerson Electric Co.’s $3.15 billion purchase of a valves business sparked the same reaction from investors as an asset sale earlier this month: a stock selloff.
The shares slumped the most among major U.S. industrial companies, after Emerson announced the acquisition from Pentair Plc. The decline was the biggest intraday drop since Aug. 2, when proceeds from Emerson’s sale of a network-power division came in at the low end of expectations.