Pentair to Join 16 Other MN Cos. on S&P 500
Pentair, Inc.—which is expected to complete its merger with a division of Tyco International, Ltd., later this week—will be added to the S&P 500 after financial markets close on Friday, S&P Dow Jones Indices said Monday.
Golden Valley-based Pentair in March announced plans to merge with the flow control division of Switzerland-based Tyco—thus creating a $7.7 billion company. The company said at the time that the combined business will be incorporated in Switzerland, but its main U.S. office will be in Golden Valley. It will employ roughly 30,000 employees worldwide—about half of whom will come from Pentair.
The shareholders of both Pentair and Tyco approved the merger earlier this month.
The S&P 500 index has served as a barometer of the large-cap U.S. equities market since its inception in 1957. To be eligible for inclusion, companies must have an unadjusted market capitalization of at least $4 billion, and included companies are “considered leading companies in leading industries,” and they are selected by a committee, according to S&P.
Pentair will replace DeVry, Inc., on the S&P 500—and it joins 16 other Minnesota companies on the index: 3M, Ameriprise Financial, Best Buy, C.H. Robinson, Ecolab, Fastenal, General Mills, Hormel, Medtronic, Mosaic, Patterson Companies, St. Jude, Target, U.S. Bancorp, UnitedHealth Group, and Xcel Energy.
Pentair isn’t the only company poised to join the S&P 500 on Friday: Boca Raton, Florida-based ADT Corporation will replace Lexington, Kentucky-based Lexmark International, Inc., on the index, as well.
Meanwhile, five Minnesota-based companies were recently selected for this year’s Dow Jones Sustainability World Index, which tracks the performance of the world’s largest companies that have been recognized as leaders in environmental stewardship, social responsibility, economic performance, and other factors. The index is produced by Sustainable Asset Management Group, a Switzerland-based investment firm, and S&P Dow Jones Indices.
Ecolab, Target, UnitedHealth Group, 3M, and Medtronic are included in this year’s Dow Jones Sustainability World Index.