By Emon Reiser
Eaton said it signed an agreement to acquire modular data-center builder Fibrebond in a $1.4 billion deal.
The Dublin power-management company on Tuesday said the acquisition will expand its reach into the multitenant data-center market that Fibrebond serves. Minden, La.-based Fibrebond builds power enclosures for data-center, utility, fiber and industrial clients, and it generated revenue of $378 million for the 12 months ending Feb. 28, said Eaton.
Eaton expects the transaction to close in the third quarter and sees Fibrebond generating about $110 million in adjusted earnings before interest, taxes and depreciation and amortization in 2025.
Eaton said in its latest earnings call that the U.S. data-center construction backlog represents about seven years of construction at 2024 rates, and that the data-center construction build rate doubled between 2023 and 2024.
"Any notion this market will slow down is simply not consistent with any of the data that we're seeing," Chief Executive Craig Arnold said on the call in January.
Write to Emon Reiser at emon.reiser@wsj.com
(END) Dow Jones Newswires
March 11, 2025 08:07 ET (12:07 GMT)
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