Eaton Corp: Our Initial Thoughts on the Mobility Group Separation

研报英文原文证据摘录

Eaton Corp: Our Initial Thoughts on the Mobility Group Separation

Deutsche Bank

Research

Rating Company Date

Buy Eaton Corp 11 June 2026

North America Reuters Bloomberg Rating Buy

United States ETN.N ETN US Price target (USD) 461.00 Price at 10 Jun 26 375.46

52-week range 433.01 – 315.82

Industrials

Multi - Industry & Electrical Valuation & Risks

Equipment

Our Initial Thoughts on the Mobility Group

Separation NicoleResearchDeBlaseAnalyst

+1-212-250-5916

ETN announced its intent to separate and combine its Mobility Group with Dana

Andrew Krill, CFA in a Reverse Morris Trust Transaction Research Analyst

This morning, ETN announced it has entered into a definitive agreement with +1-212-250-2997

Dana Inc. (DAN) under which ETN will separate and combine its Mobility Group

with Dana in a Reverse Morris Trust transaction, creating a combined company Naim Kaplan

Research Associate valued at >$10bn. The new company expects to generate ~$11bn pro forma

+1-212-250-5332

revenue and $1.7bn pro forma adj. EBITDA in 2026. The transaction values ETN’s

Mobility Group at ~$5.1bn, representing a multiple of 8.3x 2026 pro forma adj. Jackson Glenn

EBITDA, or 5.9x on a fully synergized basis, including $250m of run-rate Research Associate

synergies. In this report, we lay out our initial thoughts on the transaction. +1-212-250-2500

Structure of this transaction more favorable than a standalone Mobility spin

Today’s announcement follows ETN’s January 2026 Mobility spin news; the

company was already planning to separate the business into an independent,

publicly traded company. We think the decision to instead pursue an RMT of

Mobility with DAN makes more sense, for two reasons: 1) The combined company

will have greater scale, with $11bn PF revenue vs. $3bn for standalone ETN