Eaton Agrees To Acquire 50% Stake In Huineng's Circuit Breaker Business For Undisclosed Sum

Eaton Corporation PLC ETN has agreed to acquire a 50% stake in the circuit breaker business of Jiangsu Huineng Electric Co., Ltd. (Huineng). Deal terms were not disclosed.
Huineng manufactures and markets low-voltage circuit breakers in China and reported FY21 revenues of $35 million.
This transaction expands Eaton's reach to renewable energy, commercial building, utility, and industrial customers in the rapidly growing Chinese market.
"Huineng's application-tailored product offerings and manufacturing base in China, combined with Eaton's expertise and global channels, will enable us to further expand to meet the needs of high-growth market segments such as renewable energy and grid modernization," commented Howard Liu, president, Asia-Pacific Region, Electrical Sector, Eaton.
Eaton held cash in hand of $568 million as of December 31, 2021.
The transaction is expected to close in the third quarter of 2022.
Price Action: ETN shares are trading higher by 1.00% at $146.48 on the last check Monday.