Eaton (ETN) Acquires 82.275% Interest In Ulusoy Elektrik
Zacks Investment Research | Apr 16, 2019 10:43PM ET
Eaton Corporation (NYSE:ETN) announced that it has completed the acquisition of an 82.275% controlling interest in Turkey-based Ulusoy Elektrik Imalat Taahhut ve Ticaret A.S. (Ulusoy Elektrik). The company had announced its intention to buy Ulusoy Elektrik in November 2018.
Ulusoy Elektrik, which has manufacturing facilities in Turkey and Indonesia, deals in products that include medium-voltage switchgear, medium-voltage distribution transformers, substation kiosks, and medium-voltage cable connection systems.
The acquisition of Ulusoy Elektrik is a strategic fit for Eaton. This buyout complements its services that are spread across 175 countries. Ulusoy Elektrik exports products to more than 70 countries across the globe. The acquisition of Ulusoy Elektrik will allow Eaton to sell electric products of different varieties to existing customers.
Eaton’s Long-Term Plans
Eaton’s strategic acquisitions allow it to foray into new markets and enhance revenue stream. The company expects organic revenue growth of 4-5% in 2019, driven by strong contribution from all segments, except the Vehicle segment.
Courtesy of improving end-market conditions, the company continues to receive strong bookings for majority of its segments, in turn positively impacting its performance.
The company continues to make steady investment in research and development activities to churn out new electrical products, which will help reduce energy consumption and carbon emissions. Thanks to increasing demand for its products, Eaton expects organic growth in the range of 4-5% in 2019.
Price Performance
Shares of Eaton have outperformed its Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.