* Summit seen generating $65 mln in revenue in 2011
* Purchase seen as accretive to EPS in first year
(Adds background, details)
PARIS, March 24 France's Schneider Electric
(SCHN.PA) signed an agreement to buy closely held U.S.-based
energy procurement company Summit Energy Services for $268
Schneider is spearheading an effort to increase its presence
in energy services and smart grids, technology which regulates
the flow of electricity into people's homes and businesses, and
said last year it was hunting acquisition targets. [ID:nWEA6787]
Schneider said on Thursday the Summit purchase, still
subject to regulatory approval, should help the company
compliment its efforts in the field of energy auditing and
Schneider said Summit is expected to generate revenue of $65
million in 2011 and had an earnings before interest tax and
amortisation margin above the Schneider Electric average.
In 2010 Schneider reported EBITA margin as a percentage of
sales of 15.6 percent.
The purchase should be accretive to earnings per share in
the first year, the company said.
Kentucky-based Summit Energy started out as a natural gas
consulting firm and branched out into energy procurement, data
operations and budget development in the energy field.
According to its web site, it has 11 international offices
and employs 350 people.
(Reporting by Nina Sovich; Editing by Christian Plumb and David