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Emerson, a global technology powerhouse, has announced its definitive agreement to acquire Afag Holding AG. This acquisition is set to revolutionize the factory automation landscape, with Afag’s expertise in electric linear motion, feeding, and handling automation solutions coming under the Emerson umbrella.
Afag’s Innovative Contribution
Based in Zell, Switzerland, Afag is renowned for its state-of-the-art technology and innovation. Its integration with Emerson is expected to bolster the latter’s capabilities in factory automation, one of the company’s primary focus areas. The combined strengths of both entities will lead to a comprehensive motion portfolio, merging Afag’s electric linear motion solutions with Emerson’s pneumatic motion technology.
Targeting Key Growth Markets
Afag’s solutions cater to a diverse range of sectors, including battery manufacturing, automotive, packaging, medical, life sciences, and electronics. The electric linear motion segment alone expands Emerson’s served market by a staggering $9 billion, positioning the company for significant growth in the coming years.
The Vision Behind the Acquisition
Emerson’s COO, Ram Krishnan, expressed enthusiasm about the acquisition, highlighting Afag’s potential to accelerate growth in Emerson’s existing $900 million factory automation business. As industries continue their shift towards electrification, Afag’s technology promises enhanced energy efficiency and performance. The synergy between Afag’s motion capabilities and Emerson’s pneumatic leadership is expected to offer a unique solution for customers, further solidifying Emerson’s position in factory automation.
A Shared Vision for the Future
Adrian Fuchser, CEO of Afag, shared his excitement about joining forces with Emerson. He emphasized the potential to provide customers with a more comprehensive solution for their motion needs. Both companies share a vision of offering complete solutions in essential industries, and this acquisition promises to drive continued success in the realm of factory automation.
Closing Remarks
The acquisition is anticipated to conclude by the end of Emerson’s fiscal 2023, subject to customary closing conditions and regulatory approvals. Once finalized, Afag will be reported under Emerson’s Discrete Automation segment, marking a new chapter in the company’s journey towards factory automation leadership.
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