Emerson, St. Louis, signed an agreement to purchase the Tools and Test Equipment business from Textron for $810 million. Textron’s Tools & Test business manufactures electrical and utility tools, diagnostics, and test and measurement instruments including the Greenlee and Klauke brands. The acquisition, joined with Emerson’s Ridge Tool Company, creates a global $1 billion professional tools business serving mechanical, electrical and plumbing contractor markets.
Headquartered in Rockford, IL, Tools & Test has 2,300 employees with 11 manufacturing locations around the world and 2017 sales of $470 million.
“This acquisition significantly contributes to Emerson’s investment strategy of adding complementary businesses that broaden our served markets and add key capabilities to meet the evolving needs of our customers and drive premium growth,” said Emerson Chairman and Chief Executive Officer David N. Farr. “The strong strategic fit with Ridge Tool provides a meaningful value creation opportunity for Emerson.”
Emerson said in a release that Tools & Test’s position in electrical joining paired with the RIDGID portfolio of joining technologies for mechanical and plumbing applications creates a leading position in the professional trades. Tools & Test also brings offerings in diagnostics and other digital technologies to RIDGID. From a geographic perspective, Tools & Test’s presence in European markets complements the market strength of RIDGID outside of Europe.