The industrial automation company announced two new acquisition agreements in 48 hours.
Emerson has announced definitive agreements to acquire two European industrial products manufacturers to bolster its $900-million automation and measurement portfolios.
These much smaller acquisitions follow on Emerson’s $8.2-billion blockbuster acquisition of automated testing and measurement manufacturer NI, which was announced in April 2023.
Afag Holding AG manufactures electric linear motion, feeding and handling automation solutions. The acquisition of Afag, headquartered in Zell, Switzerland, will enhance Emerson’s factory automation division, one of Emerson’s four stated priority markets. Afag’s electric linear motion solutions will be combined with Emerson’s pneumatic motion technology to address growing market segments including battery manufacturing, automotive, packaging, medical, life sciences and electronics. The electric linear motion segment expands Emerson’s served market by more than $9 billion.
“As discrete and hybrid customers continue to accelerate electrification across their manufacturing processes, Afag’s technology is ideally suited to provide improved energy efficiency and performance gains,” said Ram Krishnan, chief operating officer of Emerson.
The transaction is expected to close by the end of Emerson’s fiscal 2023, subject to customary closing conditions, including receipt of regulatory approvals. Afag will be reported in Emerson’s Discrete Automation segment.
Emerson has also announced a definitive agreement to acquire FLEXIM Flexible Industriemeßtechnik GmbH (Flexim), which manufactures clamp-on ultrasonic flow measurement for liquids, gases and steam.
Headquartered in Berlin, Flexim brings an installed base of more than 100,000 flowmeters and has about 450 employees. The low-maintenance clamp-on ultrasonic flow measurement technology serves a broad range of end markets, including chemical, water and wastewater, life sciences, food & beverage and power generation.
When the deal closes, Flexim’s Berlin headquarters will become Emerson’s Ultrasonic Flow Measurement Center of Excellence.
“We are thrilled to be joining Emerson, which shares our culture of innovation and focus on technology and R&D,” said Jens Hilpert, chief executive officer and co-founder of Flexim. “This transaction will enable us to provide more comprehensive solutions to a broader set of customers, leveraging Emerson’s global intelligent devices leadership and commercial excellence.”
Emerson says both transactions are expected to close by the end of Emerson’s fiscal 2023, and both are subject to customary closing conditions.
The terms of both transactions were not disclosed.
Flexim will be reported in Emerson’s Measurement & Analytical segment.
