UK: Controls company Invensys has confirmed a £3.3bn bid has been received from French company Schneider Electric.
The Board of Invensys has indicated to Schneider that it is likely to recommend a firm offer at the offer price of 505p per ordinary share.
The Invensys product portfolio includes the well-known acr brands Ranco, Eliwell and Eberle.
Schneider Electric confirmed that it is in the early stages of discussions but described the strategic and financial rationale as 'compelling'. It said it was considering making an offer in order to increase its focus on the attractive industry automation sector.
Schneider Electric also said it believes that the transaction, if consummated, would create an opportunity to realise significant cost savings through enhanced efficiencies as well as revenue synergies across Schneider Electric's and Invensys's established global customer bases.
Invensys employs more than 16,000 people worldwide, over 1,000 of which are based in the UK. Its headquarters are in London with offices in Worthing and Crawley, as well as three offices in the USA.
US company Emerson Electric showed interest in buying Invensys last year but no firm offer was made.