Dover Corporation (NYSE:DOV) has announced the acquisition of Marshall Excelsior Company for $395 million. The deal is expected to strengthen Dover’s position in the energy equipment market, particularly in the propane industry. Marshall Excelsior is a leading manufacturer of propane and gas equipment, including regulators, valves, fittings, and other products used in the transportation, storage, and distribution of propane.
The acquisition of Marshall Excelsior will complement Dover’s existing portfolio of energy equipment businesses, which includes OPW, a provider of fueling equipment for retail and commercial fueling operations. Dover sees significant growth opportunities in the propane market, driven by the increasing demand for clean and efficient energy solutions. The addition of Marshall Excelsior’s product offering will enhance Dover’s ability to serve customers in the propane industry and expand its presence in the North American market.
Marshall Excelsior has a strong reputation for high-quality products and innovative solutions, making it a valuable addition to Dover’s portfolio. The company’s manufacturing facilities in Michigan and North Carolina will continue to operate as part of Dover’s Energy segment. Dover expects the acquisition to be accretive to its earnings within the first year of ownership.
The transaction is subject to regulatory approvals and other customary closing conditions. Dover expects to complete the acquisition in the second quarter of 2022. The company plans to finance the deal with cash on hand and existing credit facilities. The acquisition of Marshall Excelsior is part of Dover’s strategy to expand its presence in attractive markets and drive long-term growth.
In conclusion, the acquisition of Marshall Excelsior represents a significant opportunity for Dover to strengthen its position in the energy equipment market and enhance its capabilities in serving customers in the propane industry. The deal is expected to drive value for Dover’s shareholders and contribute to the company’s growth objectives in the coming years.
Source: http://seekingalpha.com/news/4126514-dover-buys-marshall-excelsior-for-395m#source=first_level_url%3Amarket-news%7Csection_asset%3Amain
