ITT
Corporation (NYSE: ITT) and privately held YSI Incorporated today announced that
they have entered into a definitive agreement for ITT to acquire, via merger, YSI,
a leading developer and manufacturer of sensors, instruments, software,
and data collection platforms for environmental water monitoring. The financial terms of the proposal were not
disclosed. YSI had
2010 global revenues of $101 million and employs 390 people at several
facilities in the U.S., Europe and Asia. Completion of the acquisition is expected in
the third quarter 2011, pending customary closing conditions and approval from
YSI's shareholders.
"The
addition of YSI is the next logical step in our strategy to acquire attractive
companies whose businesses complement our existing water portfolio," said
Gretchen McClain, president of ITT's Fluid and Motion Control business, and
future chief executive officer of the new standalone water company that will separate
from ITT later this year. "We see very
compelling growth characteristics in the analytical instrumentation market. As
we move toward the formation of our new water company, the addition of YSI
further builds on our attractive analytics business and our commitment to
provide the best solutions to the challenges our customers face across the
water industry."
ITT's analytics business is a leading
manufacturer of premium field, portable, laboratory and online analytical
instruments used in water and wastewater, environmental, medical, and food and
beverage applications. The company's meters, sensors, analyzers and related
consumables are used every day by thousands of end-users world-wide to analyze
and control quality in industrial applications where precise measurement is
required. ITT's analytics products are sold under the globally recognized
brands WTW, SI Analytics, OI Analytical, Royce Technologies, Aanderaa Data
Instruments (AADI), Global Water Instrumentation, ebro and Bellingham &
Stanley.
"The opportunity to
add a company with the brand recognition and reach of YSI not only strengthens
our Analytics portfolio, but also gives us a great opportunity to globally expand
our entire existing brand offering," said Chris McIntire, president of ITT
Analytics. "YSI's expertise in field and
outdoor, environmental applications strongly complements and broadens our
existing capabilities. From our workplace cultures to our
philanthropic initiatives, YSI and ITT are a perfect fit."
Rick
Omlor, chairman and chief executive officer of YSI Incorporated, said, "We believe joining ITT offers a great opportunity to continue
growing our business, and I'm especially pleased that YSI will live on within a
strong global company united around water. With a 63-year legacy founded in
scientific discovery and innovation, YSI's strong brand equity, backed by ITT's
global citizenship philosophy is the right choice to move YSI into the future."
About YSI Incorporated
Founded
in 1948, YSI is a leading developer and manufacturer of sensors, instruments, software, and data collection
platforms for environmental water monitoring. YSI
has 390 employees in 22 locations serving customers throughout the world.
About ITT Corporation
ITT Corporation is a
high-technology engineering and manufacturing company operating on all seven continents
in three vital markets: water and fluids management, global defense and
security, and motion and flow control. With a heritage of innovation, ITT
partners with its customers to deliver extraordinary solutions that create more
livable environments, provide protection and safety and connect our world.
Headquartered in White Plains,
N.Y., the company reported 2010
revenue of $11 billion.
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In addition, there are risks and uncertainties relating to the planned tax-free
spinoffs of our Water and Defense businesses, including the timing and
certainty of the completion of those transactions and the ability of each
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is based on the company's current structure and does not give effect to the
separation of our Water and Defense businesses into newly independent public
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