Eaton Mulls Sale of Auto Parts Unit

Eaton Corp. is considering the sale of its car parts operations to focus on its electrical systems business, Bloomberg News reports.

The news service cites unidentified sources who say company executives want to sell the unit but are likely to keep the truck operations. Eaton was founded in 1911 as a maker of truck axles.

The Dublin, Ireland-based company has not hired investment bankers to handle a deal, according to Bloomberg. Its sources estimate that the car parts unit could be worth $1 billion.

The auto and truck units accounted for 10% and 14%, respectively of Eaton's $16.3 billion in revenue last year, Bloomberg notes.