RUEIL-MALMAISON, France -- Schneider Electric announced that it has signed an agreement to acquire SCADAgroup, an Australia-based provider of telemetry products and solutions for the water and waste-water, oil & gas and electric power end-market segments. Telemetry is a key technology that allows the remote measurement, monitoring, control and data transfer of infrastructures scattered over a wide area or that are hard to access.SCADAgroup has operations throughout North America, the U.K. and Australia and employs over 500 staff. It is expected to generate revenues in excess of AU$110 million (~ €75 million) for the current fiscal year ending in June 2010.The company provides a complete portfolio of products and solutions for telemetry applications including a SCADA software allowing consolidation and monitoring of key information on the process; communication devices using radio for the transmission of information; a wide range of remote terminal units (RTU) that collect and consolidate information from the field; wireless sensors to monitor key variables such as flow, temperature and pressure. In addition, the company has strong project execution capabilities and provides its customers with high valued-added services which represent an important part of its revenues.Through this acquisition, Schneider Electric further reinforces its presence in the water, waste-water, and oil & gas segments. With SCADAgroup, it acquires technologies and product offers to be pushed through its channels, and execution and service capabilities that are complementary to its own in these segments. Water, wastewater, and oil & gas are among the key market segments targeted by Schneider Electric and for which best levels of energy efficiency are achieved with integrated solutions combining industry automation and power.The closing of the transaction, subject to regulatory approvals, is expected to occur soon. The purchase price of the transaction, expressed as an enterprise value, is AU$200 million (~ €140 million), or 11 times fiscal 2010e EBITA. This acquisition should be accretive on earnings per share from year 1 and meets Schneider Electric’s Return on Capital Employed criteria.
