Emerson set to Acquire Avocent for $1.2 billion

InformationWeek.com has reported that Emerson is planning to acquire Avocent for $1.2 billion. The purchase will enable Emerson to offer total infrastructure management solutions to data center customers.

Emerson's Network Power unit offers data center solutions including: power systems, energy management and precision cooling. Avocent provides a mix of data center hardware, software and embedded technologies. The companies see the combination as a "powerful combination," according to Avocent CEO Mike Borman.

David N. Farr, Emerson Chairman, CEO and President said in a statement: "Combining Avocent's technologies, relationships and installed base with Emerson's power and cooling presence allows us to offer a more compelling solution to our data center customers' most pressing challenge -- energy efficiency."

St. Louis-based Emerson Electric Co. reported data center-related revenues at about $2.6 billion of its total $25 billion in FY 2008 sales. The company is set to acquire Avocent Corp. for $1.2 billion (22 percent more than Avocent stock's last closing price).

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