Private equity firms Blackstone Inc, EQT AB, and THL Partners are in competition with major U.S. industrial automation companies, including Emerson Electric Co, Keysight Technologies Inc, and Fortive Corp, to acquire German power electronics company EA Elektro-Automatik, according to media reports.
Bidding for EA Elektro-Automatik
EA Elektro-Automatik, currently owned by mid-market investment firm Bregal Investments, is attracting interest from a range of potential buyers. The deal could potentially value the company, based in Viersen, Germany, at between $1.5 billion and $2 billion, debt included. However, it’s important to note that a deal has not yet been confirmed.
Financial Details
EA Elektro-Automatik has reported 12-month earnings before interest, taxes, depreciation, and amortization (EBITDA) of approximately $100 million, according to reports.
Exploring a Sale
The company began working with a financial advisor to explore a sale earlier this year and received initial bids in September. Bregal Investments, founded in 2002 and backed by the Brenninkmeijer family, oversees assets totaling over 17 billion euros ($17.79 billion). The firm has invested in more than 85 companies to date.
EA Elektro-Automatik currently operates in the Americas, Europe, and Asia, supplying equipment that provides power supply solutions for high-tech manufacturing processes across various sectors, including automotive, energy storage, telecommunications, and aerospace.