Tech giant Emerson announced that it has made the required regulatory filing in connection with the company?s previously announced plan to spin off its Network Power business, which will be named Vertiv.
The filing, which outlines Emerson?s intent to spin off 100 percent of the outstanding common stock of Vertiv through a tax-free distribution to shareholders, is an important step in a process expected to be substantially complete by September 30, 2016.
Vertiv will continue to operate as a segment of Emerson until the separation is complete.
?Today marks another step forward in a process we began in early 2015 focused on strengthening Emerson and preparing the company to capitalize on future growth opportunities,? said chairman and chief executive officer David N. Farr.
?The spinoff of Vertiv will sharpen Emerson?s focus on high-growth markets and establish Vertiv as an industry-leading public company under Scott Barbour?s strong leadership.?
Scott Barbour, who has been executive vice president of Emerson and business leader for Emerson Network Power said, ?Our years as part of Emerson have given us a tremendous foundation from which to launch and grow Vertiv as an independent company. Our team is looking forward to the opportunity to concentrate on our core competencies, expand our global customer base, strengthen our industry leading positions, and create value for our future shareholders.?
Vertiv is engaged in designing, manufacturing and servicing mission-critical infrastructure technologies for vital applications in data centers, communication networks and commercial/industrial environments.
The company offers a broad range of products in both power and thermal management and provides lifecycle management services and solutions for deploying, maintaining and optimizing these products. In addition, Vertiv provides infrastructure management, monitoring, controls and software solutions for its customers? critical applications.