M&A activity continues in distribution.(Baldor Electric Co.'s acquisition of Rockwell unit)(HD Supply Waterworks' acquisition of Heartland Waterworks Supply)(Avnet Inc.'s acquisition of Access Distribution)

Industrial Distribution, December, 2006

Staff

Industrial distributors kept up the furious pace of merger and acquisition activity in November, as companies seeking to increase their profits and geographic footprints snapped up other companies.

In one of the largest transactions, Baldor Electric Co., the Ft. Smith, Ark.-based manufacturer of electric motors, drives and generators, agreed to pay $1.8 billion for the Rockwell unit, which makes Reliance Electric and Dodge brand electric motors, bearings and gears.

The deal gives Baldor about $1 billion in higher-margin revenues, a manufacturing base in China, and extends its product line into power transmission products and larger motors.

A second big name in distribution made another in a series of acquisitions...

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