Baldor Electric Company, Fort Smith, AR, has agreed to acquire the Reliance Electric Company and affiliated companies of Rockwell Automation Inc., Milwaukee, WI, for $1.8 billion in cash and stock.
The Power Systems business, which markets its products under the Reliance Electric and Dodge brand names, complements Baldor’s business in industrial electric motors, drives and generators.
The acquisition adds about $1 billion in sales with wider margins that Baldor’s, provides a manufacturing base in China for Asian markets, and extends Baldor’s product line into power transmission products and larger motors.
Rockwell Automation to Sell Power Transmission, Industrial Motors Businesses
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