Cooper Industries PLC has cut its dividend by 32% ahead of Eaton Corp.’s planned $11.8 billion acquisition of the electrical products maker, the business website MarketWatch.com reports. The dividend is payable Nov. 16 to shareholders of record on Nov.1.
Cooper trimmed its payout to 21 cents a share from 31 cents, which should save the company about $16.2 million a quarter, the website said.
The deal with Eaton, a diversified industrial manufacturer, was announced in May. Eaton provides a dividend of 38 cents, amounting to a roughly 3.4% annual yield. Eaton and Cooper shareholders will vote on the acquisition proposal on Oct. 26th.Tagged with tED