October 26, 2021
Hubbell Announces Sale of Commercial and Industrial Lighting Business
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Progress Lighting is not part of the transaction.
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Purchase price is $350M.
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Hubbell Lighting's 2020 revenues were $515M.
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Transaction expected to close in early 2022.
Below is the announcement from Hubbell, Inc.
Shelton, CT, Oct. 26, 2021 -- Hubbell Incorporated (NYSE: HUBB) today announced the execution of a definitive agreement to sell its Commercial and Industrial Lighting business to GE Current, a Daintree company, for a cash purchase price of $350 million, subject to customary adjustments with respect to working capital and net indebtedness. The business designs, manufactures and sells LED lighting and control solutions for commercial and industrial customers and generated approximately $515 million in sales in 2020.
“This strategic transaction creates a more focused Hubbell portfolio with higher growth and margin characteristics, and enables us to continue effectively executing on our core strategy of providing reliable and efficient critical infrastructure solutions for Electrical and Utility applications,” said Gerben Bakker, Chairman, President and Chief Executive Officer. “We are confident that Current is the right strategic partner for the business, and that the combination of these two leading businesses with complementary product portfolios will be a win for customers, channel partners, employees and shareholders.”
The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first quarter of 2022. The Company expects to deploy net proceeds from the sale to accretive bolt-on acquisitions and share repurchases.
Morgan Stanley & Co. LLC is serving as financial advisor to Hubbell, and Wachtell, Lipton, Rosen & Katz is serving as legal counsel.
About Hubbell
Hubbell Incorporated is a leading manufacturer of utility and electrical solutions enabling customers to operate critical infrastructure reliably and efficiently. With 2020 revenues of $4.2 billion, Hubbell solutions empower and energize communities in front of and behind the meter. The corporate headquarters is located in Shelton, CT.
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