Crane to Acquire Sensor Unit from Baker Hughes in $1.15 Billion Deal
(P&GJ) — Crane Company has agreed to acquire Precision Sensors & Instrumentation (PSI) from Baker Hughes for $1.06 billion, including estimated tax benefits worth $90 million.
PSI, which provides sensor-based technologies for aerospace, nuclear, and process industries, is expected to generate approximately $390 million in sales and $60 million in adjusted EBITDA in 2025.
“PSI is a unique asset with three iconic brands that are highly complementary to both of our segments,” said Max H. Mitchell, Chairman, President and CEO of Crane.
In Crane’s Aerospace & Electronics segment, the addition of the Druck brand will enhance pressure sensing capabilities for environmental control systems, hydraulics, and engine monitoring across both single-aisle and widebody aircraft platforms. Druck also adds ground-based test and calibration tools to the company’s portfolio.
In the Process Flow Technologies segment, the Reuter-Stokes brand will expand Crane Nuclear’s footprint by adding radiation sensing and detection technology. The Panametrics brand contributes ultrasonic flow meters and precision moisture analyzers used in LNG transport, pipelines, chemical production, and water treatment.
Mitchell said the deal aligns with Crane’s long-term strategy and financial targets. “This transaction meets all of Crane Company’s strategic and financial criteria, including a 10% ROIC by year five,” he said. “We expect PSI to deliver long-term sales growth in the 4% to 6% range.”
Crane expects to maintain a net debt to adjusted EBITDA ratio of about 1x following the acquisition, leaving room for additional deals.
Alex Alcala, Crane’s Executive Vice President and COO, called the acquisition “an important next step in our multi-year, ongoing portfolio evolution.”
The deal is subject to regulatory approvals and is expected to close in late 2025 or early 2026. Crane plans to finance the acquisition with a mix of cash on hand and new debt.
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