Emerson Electric to buy GE's intelligent platforms division
(Reuters) - Factory automation equipment maker Emerson Electric Co on Tuesday agreed to buy General Electric Co's intelligent platforms business, a day after the conglomerate replaced its chief executive officer.
The terms of the deal, expected to close in the first half of fiscal 2019, were not disclosed.
Emerson said the GE business, which generated sales of $210 million in 2017, will help it expand in several industries including, metals and mining, packaging and life sciences.
The business has developed a set of cloud-connected controllers and devices to enable smarter plants.
"This transaction enables Intelligent Platforms to be best positioned to pursue its growth strategy, while accelerating our reinvestment in GE Power to develop the energy technologies of the future and provide the world with reliable, affordable electricity," GE Power CEO Russell Stokes said.
GE has been shedding several businesses to focus on jet engines, power plants and renewable energy.
The company, which was once the most valuable U.S. corporation and a global symbol of American business power, on Monday replaced its CEO John Flannery with outsider and board member Larry Culp as it battles weakness in its power business.
(Reporting by Arunima Banerjee in Bengaluru; Editing by Shailesh Kuber)
