As in other sectors with a technological component, such as the Cloud Computing sector, there are also large acquisitions in Industrial Automation, a sector that, as described in the Investment Analysis carried out by Baker Tilly, bases its activity on the use of control systems and technology through robots and computers to carry out industrial processes more efficiently.
A very clear example of industrial automation is in the automotive industry. In this sector, a large number of processes have been automated thanks to the development of new technologies, such as assembly robots. This innovation also makes it possible to dispense with the need for workers in potentially dangerous tasks. These positive factors, among many others, make the automation industry a sector with great projection in the near future.
In terms of sales and acquisitions, there are a total of 478 acquisitions of companies belonging to the industrial automation sector. In addition, almost 500 operations have been carried out with the acquiring company belonging to the aforementioned sector.
In this article we will focus on three of the largest acquisitions in Industrial Automation.
Columbus McKinnon is a leader in motion control and lifting technology. With more than 145 years of experience, this company is present in Europe, Asia, Africa, Latin America and North America. Dorner specializes in industrial conveyors and packaging for industrial chains.
This acquisition becomes Columbus' 15th, creating a growth catalyst for the company and providing the diversification it needs in many end markets, thanks to the expansion of its product offering. In addition, this transaction assists Dorner in its geographic expansion, thanks to Columbus' large global presence. This transaction marks a trend shift towards the smart move and serves as a platform to expand capabilities in advanced, high-tech automation solutions.
The transaction, which took place in May 2018, is particularly noteworthy for its size. Boeing is the world's leading aerospace company and manufacturer of commercial aircraft, space, defense and security systems. It supports other allied airlines in more than 150 countries.
KLX aeroespacial, following its divestiture and separation from the KLX Energy Services Group, provides its customers with mission-critical products and complex logistics solutions in the aerospace sector. It merged with Aviall, a Boeing-owned aircraft parts distributor, to achieve a seamless operation.
This business merger will provide a unique advantage that will be reflected in the supply chain, bringing together two leaders with complementary distribution, solution and product capabilities. The acquisition was completed in cash.
The third of the most relevant acquisitions in Industrial Automation is the one made by the US company WillScot, based in Baltimore, is the leading provider of temporary workspaces. It is dedicated to providing workspaces so that customers have comfortable spaces specified to their criteria. As they say, "one call gets your building configured, tidy, delivered, installed and open for staff to be productive immediately".
On the other hand, Mobile mini is a leader in portable warehouses, achieving automation in the storage processes for its customers because, as with WillScot, with one call you have a warehouse where and how you want.
The deal was completed in July for $6.6 billion. This amount consolidated William Scotsman as the undisputed leader in its sector, having the largest fleet of offices and portable warehouses of the highest quality. In addition, both companies have focused on process automation, resulting in greater customer convenience and a better service and product experience.