Emerson Electric gives up on Rockwell Automation takeover attempt
by The Associated Press
Emerson Electric Co. CEO David N. Farr said that the company is "disappointed" in Rockwell's rejections. The latest bid would have valued Rockwell at US$29 billion
NEW YORK—Emerson Electric is withdrawing its latest unsolicited takeover bid for Rockwell Automation following a series of rejections from the industrial automation company.
Milwaukee-based Rockwell rejected the latest offer, saying that it undervalues the company and its prospects for growth.
Emerson’s latest offer stood at $225 per share, consisting of $135 per share in cash and $90 per share in Emerson stock. The total value was about $29 billion.
In October, Rockwell Automation rejected an offer then worth $215 per share, or $27.61 billion. Emerson’s original bid of $200 per share was made in August.
Emerson Electric Co. CEO David N. Farr said that the company is “disappointed” in Rockwell’s rejections.
Rockwell’s shares dropped nearly 2 per cent in Tuesday premarket trading.