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Eaton Reaches Agreement to Sell Its Hydraulics Business for $3.3 Billion

  • Region:

    Dublin, Ireland

  • Sector:

    Utilities

  • Deal Size:

    $3.3 Billion

  • Buy Side Company:

    Danfoss A/S
  • Sell Side Company:

    Eaton
  • Target Company:

Power management company Eaton announced it has entered into an agreement to sell its Hydraulics business to Danfoss A/S, a Danish industrial company, for $3.3 billion in cash. This represents a 13.2 multiple of 2019 EBITDA. Eaton’s Hydraulics business, which accounted for 86 percent of Eaton’s Hydraulics segment revenue in 2019, is a global leader in hydraulics components, systems, and services for industrial and mobile equipment. The business had sales of $2.2 billion in 2019 and employs approximately 11,000 people. Eaton is retaining the Filtration and Golf Grip businesses currently reported in the company’s Hydraulics segment.

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