Dana to Combine with Eaton Mobility in $5.1B Deal, Raising 2030 Targets to $14-15B Sales
DAN has more than doubled off its 52-week low of $15.305.
Summary
Dana Incorporated announced a definitive agreement to combine with Eaton's Mobility business in a $5.1 billion Reverse Morris Trust transaction. This creates a global powertrain leader with approximately $11 billion in pro forma sales and $1.7 billion adjusted EBITDA, expecting $250 million in synergies. Eaton shareholders will own at least 50.1% of the combined entity, and Eaton will receive a $1.1 billion cash distribution. This deal significantly accelerates and expands Dana's "Dana 2030" strategy, raising its sales targets to $14-15 billion and adjusted EBITDA margins to 18%.
At the time of this announcement, DAN was trading at $35.47 on NYSE in the Manufacturing sector, with a market capitalization of approximately $3.8B. The 52-week trading range was $15.31 to $39.56. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: PR Newswire.