Emerson Electric Co. has revealed a $7.6 billion bid for National Instruments Corp. (NI), which specializes in making automated testing and measurement tools for the semiconductor, transportation, aerospace, and defense industries. Emerson has been trying to buy NI for several months. The company is currently offering $53 per share of NI, with no financing conditions or anticipated regulatory concerns.
Emerson, a St. Louis-based global engineering and industrial software company, first approached NI in May. "After refusing to work with us toward a premium cash transaction over the past eight months, we are making our interest public for the benefit of all NI shareholders," said Lal Karsanbhai, Emerson’s Chief Executive Officer.
In November, after Emerson increased its bid, NI told the company that it had put together a “working group of its board” to look at the offer.
"In the more than two months since, NI continued to resist engaging meaningfully with Emerson to work toward an agreement," Emerson said in a statement. The company, which makes process controls systems, valves, and analytical instruments, has already purchased 2.3 million NI shares and has obtained regulatory clearance to further increase its stake, the company said.
NI said in a statement that it decided to pursue a "comprehensive review" that would include interest from other potential buyers, "rather than negotiate exclusively with Emerson, which NI believes would be detrimental to shareholder interests."