MergerJun 11, 2026, 04:31 PM
Dana Inc. to Merge with Eaton's Vehicle and eMobility Business
AI Summary
Dana Incorporated announced it has entered into definitive agreements with Eaton Corporation plc for a Reverse Morris Trust transaction to combine their businesses. The combined entity will be named Dana Incorporated, with Eaton shareholders holding at least 50.1% and Dana shareholders approximately 49.9% of the new company. The transaction, unanimously approved by both boards, is structured to be tax-free for shareholders. Several ancillary agreements are also being entered into to govern various aspects of the combined operations, including tax, employee matters, and intellectual property.
Key Highlights
- Dana Incorporated and Eaton Corporation plc to combine their businesses in a Reverse Morris Trust transaction.
- The combined entity will operate under the name Dana Incorporated, with former Eaton shareholders owning at least 50.1% and former Dana shareholders owning approximately 49.9%.
- The transaction has been unanimously approved by the Boards of Directors of both Dana and Eaton.
- The transaction is intended to be tax-free for U.S. federal income tax purposes for shareholders of both companies.
- Definitive agreements include a Merger Agreement and a Separation and Distribution Agreement.
- Ancillary agreements will cover tax matters, employee matters, transition services, real estate, intellectual property, and trademarks.
- Dana will acquire Royal Precision Holding Corp. from Eaton Ohio immediately prior to the distribution.
Price Impact
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