Harvey Hubbell will buy Ohio Brass for $54 Million

Harvey Hubbell Set

To Buy Ohio Brass

For $54 Million

Orange, Conn. - Harvey Hubbell Inc. said it agreed in principle to acquire Ohio Brass Co. for about $54 million in cash or stock.

Both companies make electrical equipment. Ohio Brass, of Mansfield, Ohio, would be operated by present management as a subsidiary of Hubbell.

In the proposed acquisition, Ohio Brass stockholders would have the option of receiving for each Ohio common share either $73 in cash or 2.92 shares of a new $25 cumulative, convertible, voting preferred stock of Hubbell. Each share of the new Hubbell issue would pay an annual dividend of $2.06 and would be convertible into 0.672 shares of Class B Hubbell common. As of last Dec. 31, Ohio Brass had about 745,000 common shares outstanding.

The proposed merger is subject to approval by the boards and stockholders of both companies and regulatory agencies. The companies said certain limits are being placed on the intended transaction to preserve its tax-free nature.

Class B Hubbell common closed yesterday on the American Stock Exchange composite tape at $23.875 a share, up 87.5 cents. Ohio Brass closed at $68 a share, up $19.625.