12.23.14
Dover Corporation has signed a definitive agreement to sell its Datamax-O'Neil unit to Honeywell International for $185 million. In light of the news, shares of Dover increased 2.1%.
Pursuant to customary regulatory approvals, the transaction is expected to close in the first quarter of 2015. Datamax-O’Neil, which designs, manufactures and markets a line of stationary and portable label and receipt printing solution products, came under the umbrella of Dover in 2005. Datamax-O’Neil’s printing solutions enable manufacturing and supply markets to capture the benefits of automated product identification and automated legal and financial transactions.
Headquartered in Orlando, FL, USA, Datamax-O’Neil’s products address a wide variety of applications, including those in the industrial, healthcare, retail, automotive and ticketing market sectors.
At its investor conference in New York earlier this month, Dover initiated fiscal 2015 guidance and highlighted its growth drivers and outlook for the next three years. The company, however, trimmed its 2014 guidance to reflect the impact of restructuring actions taken in the fourth quarter.
These actions, which mainly pertain to workforce reductions and efforts to consolidate its manufacturing footprint, are expected to lead to over $50 million in annual benefits. One-time charge from these actions is estimated at $45 million. Of this, approximately $40 million will impact the fourth quarter.
For fiscal 2014, Dover expects adjusted earnings per share to lie in the range of $4.55 to $4.62. The 18 to 20 cents reduction from the prior adjusted earnings per share guidance of $4.75-$4.80, which excluded 4 cents of discrete tax benefits, reflects the impact of restructuring actions taken in the fourth quarter and other one-time items.
Pursuant to customary regulatory approvals, the transaction is expected to close in the first quarter of 2015. Datamax-O’Neil, which designs, manufactures and markets a line of stationary and portable label and receipt printing solution products, came under the umbrella of Dover in 2005. Datamax-O’Neil’s printing solutions enable manufacturing and supply markets to capture the benefits of automated product identification and automated legal and financial transactions.
Headquartered in Orlando, FL, USA, Datamax-O’Neil’s products address a wide variety of applications, including those in the industrial, healthcare, retail, automotive and ticketing market sectors.
At its investor conference in New York earlier this month, Dover initiated fiscal 2015 guidance and highlighted its growth drivers and outlook for the next three years. The company, however, trimmed its 2014 guidance to reflect the impact of restructuring actions taken in the fourth quarter.
These actions, which mainly pertain to workforce reductions and efforts to consolidate its manufacturing footprint, are expected to lead to over $50 million in annual benefits. One-time charge from these actions is estimated at $45 million. Of this, approximately $40 million will impact the fourth quarter.
For fiscal 2014, Dover expects adjusted earnings per share to lie in the range of $4.55 to $4.62. The 18 to 20 cents reduction from the prior adjusted earnings per share guidance of $4.75-$4.80, which excluded 4 cents of discrete tax benefits, reflects the impact of restructuring actions taken in the fourth quarter and other one-time items.