nVent Electric plc (NYSE: NVT) (“nVent”), a global leader in electrical connection and protection solutions, today announced it has entered into a definitive agreement to acquire CIS Global LLC, a privately held leading provider of mission critical power and server rack-mount slide products for the rapidly growing data center and networking industries. The transaction is expected to be completed by the third quarter for a cash purchase price of approximately $200 million, subject to adjustments.
CIS Global is a leading provider of data center power solutions. There is an increasing demand for data services that is propelling investments in IT and server technology. Key drivers include 5G wireless and demand for artificial intelligence and edge computing, creating demand for servers and related power solutions. CIS Global is headquartered in Tucson, Arizona with five manufacturing facilities including China, India and Thailand with approximately 850 employees globally.
“We are excited about the strong team, technology and innovation at CIS Global. Combined with our Enclosures solutions, we can help data centers across the world improve operational efficiency and optimize energy utilization with leading technologies in heat and power management, both critical for electrical resiliency,” said nVent Enclosures President Joe Ruzynski. “Our priority after closing will be to serve and grow the CIS Global customer base with innovative solutions.”
The addition of CIS Global will strengthen nVent’s ability to provide protection, with innovative products to help manage heat and provide power solutions in data centers. Their highly complementary portfolio and manufacturing footprint will extend our global growth opportunities with solutions focused on connecting and protecting the future of electrification. We expect CIS Global will be operated as a separate business within the nVent Enclosures segment.
The closing is subject to customary conditions, including regulatory approval. We expect to share additional information during nVent’s second quarter earnings call.
nVent is a leading global provider of electrical connection and protection solutions. We believe our inventive electrical solutions enable safer systems and ensure a more secure world. We design, manufacture, market, install and service high performance products and solutions that connect and protect some of the world’s most sensitive equipment, buildings and critical processes. We offer a comprehensive range of enclosures, electrical connections and fastening and thermal management solutions across industry-leading brands that are recognized globally for quality, reliability and innovation. Our principal office is in London and our management office in the United States is in Minneapolis. Our robust portfolio of leading electrical product brands dates back more than 100 years and includes nVent CADDY, ERICO, HOFFMAN, RAYCHEM, SCHROFF and TRACER. Learn more at www.nvent.com.
nVent, CADDY, ERICO, HOFFMAN, RAYCHEM, SCHROFF and TRACER are trademarks owned or licensed by nVent Services GmbH or its affiliates.
All statements made about the anticipated benefits of the acquisition, are forward-looking statements subject to risks and uncertainties, such as the company’s ability to complete and integrate the acquisition successfully and other risk factors contained in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2020, which could cause actual results to differ materially from those expressed by such forward-looking statements.