Another major acquisition just announced. This one is significant in the power management arena. Quite a price tag for Eaton to acquire Tripp Lite for $1.65B (represents approximately 12 times Tripp Lite’s 2020 EBITDA and 11 times estimated 2021 EBITDA).
We will see how the two product lines blend over time. Power management is something that most everyone needs and that demand just got a lot bigger in the homes as everyone is working remotely.
Founded nearly 100 years ago, Tripp Lite is headquartered in Chicago, Illinois. Tripp Lite is a supplier of power quality products and connectivity solutions including single-phase uninterruptible power supply systems, rack power distribution units, surge protectors, and enclosures for data centers, industrial, medical, and communications markets in the Americas.
“The acquisition of Tripp Lite will enhance the breadth of our edge computing and distributed IT product portfolio and expand our single-phase UPS business,” said Uday Yadav, president and chief operating officer, Electrical Sector, Eaton. “We look forward to welcoming Tripp Lite to the Eaton family.”
The acquisition, which is subject to customary closing conditions, is expected to close mid-2021.