Analyst speculates about Eaton buying Cooper Industries

Industrial analyst Jeff Sprague of Vertical Research Partners on Wednesday speculated in a note to clients about the possibility of a merger between Eaton Corp. and Cooper Industries Plc. Cooper shares jumped 6.3 percent after Reuters reported on the note. In a research note he called “speculative,” Sprague said Cooper, with a current market capitalization of $7.2 billion, would be a big target for Eaton, but Eaton could afford such a purchase if it included an equity offering. Eaton and Cooper offered no comments.