Pentair concludes acquisition of ERICO for $1.8B

Pentair, a global provider of water flow and energy solutions, including valve manufacturing, with branches in North and South America, has completed the previously announced acquisition of electrical and fastening products maker ERICO Global Company for $1.8 billion in cash. The acquisition is expected to expand Pentair’s presence in the industrial and commercial sectors.

Solon, OH-based ERICO sells its products for electrical, mechanical and civil applications under well recognized brands including CADDY fixing, fastening and support products; ERICO electrical grounding, bonding and connectivity products; and LENTON engineered systems. With operations spread across 30 countries, ERICO employs a workforce of 1,200 people.

The acquisition will strengthen Pentair’s business by broadening its product offering. The combined company will be better equipped to provide further global solutions to its end users. ERICO will become a key growth platform within Pentair`s Technical Solutions reporting segment.

The company is also investing in its high-performing Technical Solutions and Water Quality Systems segments where it sees strategic, organic and inorganic growth opportunities. Pentair has taken aggressive actions to right-size the cost structure of the Valves & Controls business and identified over $100 million of targeted savings in 2016. The company will continue to evaluate potential acquisitions in other industry segments, including flow control, and is actively looking at deal opportunities.

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