Schneider Electric announced in May its intent to purchase the outstanding shares of ELAU, a packaging machinery automation market leader. As a wholly owned, autonomous Schneider Electric company, ELAU will define the business model to achieve Schneider’s growth strategy in the increasingly global packaging automation market.

ELAU’s core technology enables packaging machines to deliver the increased efficiency and flexibility demanded in today’s supply chain. Schneider Electric is a $12 billion company that supplies quality electrical devices to implement automation throughout the enterprise. The integration of ELAU’s domain expertise and Schneider’s worldwide resources gives packagers an unprecedented ability to leverage their packaging assets as a competitive advantage.

ARC reviews the ELAU acquisition

In a recent ARCwire report, analyst Sal Spada of ARC Advisory Group, commented: “Through ELAU’s thought leadership in machine control they have not just grown their business but have had a major impact on expanding the entire packaging machinery market.

“Servo-based technology is simply more accessible to the machine builder as they have used an innovative strategy that leveraged embedded software intelligence, networking and industry standards.

“Under the Schneider Electric umbrella, we expect ELAU to retain this entrepreneurial spirit while leveraging the global infrastructure and financial backing of the organization to continue to expand their business more rapidly globally.”