We have advised on Eaton Corporation plc’s agreement to combine its Mobility Group with Dana Incorporated. The combined business, valued at over $10 billion, will create a leading global supplier to the commercial and light vehicle markets.

The transaction will bring together Eaton’s Mobility business and Dana’s complementary capabilities across drivetrain, propulsion, electrification and power management technologies, supporting customers across internal combustion, hybrid and electric platforms. The combined business is expected to generate approximately $11 billion in pro forma revenue, with enhanced scale, diversified end markets and expanded aftermarket capabilities.

The transaction is structured as a “Reverse Morris Trust” transaction, where Eaton will first separate its Mobility Group to Eaton shareholders through either an exchange offer (split-off) or a pro rata distribution (spin-off), at Eaton’s election. Immediately thereafter, Dana will merge with a subsidiary of the Mobility Group, with Dana surviving as a wholly owned subsidiary of the Mobility Group. This is only the second Reverse Morris Trust transaction by an Irish publicly traded company (we also advised on the first) and only the second proposed split-off. We were pleased to advise Eaton on this innovative and important transaction. 

The transaction is expected to complete in the first quarter of 2027, subject to customary approvals.

The Arthur Cox team was led by Fintan Clancy, Jessica Lewis and Mari Woulfe (Tax), Christopher McLaughlin, Susan O’Leary, Jennifer Cox and Avril Horgan (Corporate and M&A), and Olivia Mullooly and Kirstin Deery (Technology and Innovation).

For more, please visit the Eaton website.