Shares of Rockwell Automation Corp. jumped 7.6% toward a record high in premarket trade Thursday, after Emerson Electric Co. raised its unsolicited buyout bid to buy the industrial automation company to $225 a share from $215 a share. Under terms of the new deal, Emerson would pay $135 a share in cash and the equivalent of $90 a share in Emerson stock for each Rockwell share outstanding. That represents a 19% premium to Wednesday’s stock closing price of $188.73, and 12% above the Nov. 7 record close of $200.82, and would give Rockwell a market capitalization of about $28.91 billion. Rockwell had rejected Emerson’s previous bid in October, which consisted of $107.50 a share in cash and the equivalent of $107.50 share in Emerson stock, saying it was not in the best interest of its shareholders. Emerson shares fell 1.0% in premarket trade. Year to date, Rockwell’s stock has soared 40.4%, Emerson shares have gained 6.0% and the S&P 500 has climbed 14.6%.
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