| Acquisitions and Divestures
On January 18, 2011, Danaher Corporation announced that it has entered into an agreement to sell off its Pacific Scientific Aerospace business, excluding its Artus business, to an aerospace and defense company, Meggitt plc. The company also has a binding offer for the Artus business from Meggitt. The offer remains open for 12 months, but before the finalization of the Artus deal Danaher, as per the French law, needs to consult the Artus works council. The cash value of the both the transaction has been fixed at $685 million, subjected to certain adjustment after the closing of the deal. The transaction is expected to close in the second quarter of 2011, based on fulfillment of certain customary and regulatory conditions.
On September 29, 2010, Danaher and Keithley Instruments Inc. announced that they have entered into a definitive merger agreement pursuant to which Danaher will acquire all of the outstanding Common Shares and Class B Common Shares of Keithley at a purchase price of $21.60 per share in cash for an enterprise value of approximately $300 million net of cash to be assumed.
On July 6, 2010, Danaher and Cooper Industries completed the joint venture of their respective tools businesses. Cooper and Danaher, each, will have a 50% stake in the new joint venture that is expected to generate revenue in excess of $1.2 billion. The new company will make a $90 million dividend payment to Danaher. The joint venture could realize $50 million in revenue synergies in three to five years with another $50 million in cost synergies over the same time period. Danaher also plans to 1) generate a one-time gain on the sale of assets, with the amount dependent on the final asset valuation, and 2) realign its segments to eliminate Tools and Components as a standalone platform.
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