Cleveland-based Eaton Corporation (NYSE: ETN) is rapidly becoming one of the major players in the smart-grid arena.
The big recent news, announced on May 21, was that Eaton is acquiring Cooper Industries (NYSE: CBE), one of the leading suppliers of electrical equipment. While the largest acquisition, it’s only one of several in the last five years for Eaton to de-emphasize its historical focus on truck components. And, the pace of Eaton’s acquisitions appears to be increasing.
Last week, Eaton announced the acquisition of Gycom‘s electrical business. In December, Eaton acquired E.A. Pederson, a manufacturer of medium-voltage switchgear. Last August, Eaton acquired IE Power, which makes inverters for large-scale solar and energy storage projects.
It seems that Eaton is aiming to develop a more comprehensive toolbox of equipment to sell to electric utilities. According to this article by Greentech Media, Eaton is now “the sixth largest company in terms of smart grid related revenues, putting it alongside grid and power giants like Siemens (NYSE: SIE), Schneider (Euronext: SU), Alstom (Euronext: ALO) and ABB (NYSE: ABB).” Not to mention, GE (NYSE: GE) and Johnson Controls (NYSE: JCI) and Honeywell (NYSE: HON).
The consensus sentiment is that the bidding for buying up pieces of the smart grid technology landscape is only heating up. Given several deep-pocketed acquirers flush with cash, it would be a good time to be a seller.