RTTNews | Sep 8, 2021 07:42AM EDT

07:41 Wednesday, September 8, 2021 (RTTNews.com) - Shares of critical digital infrastructure and continuity solutions provider, Vertiv Holdings Co (VRT) are down more than 3% in pre-market trade on Wednesday, after the company slashed its third-quarter and full-year outlook citing supply chain challenges expected to continue through the first half of 2022.

The company sees net sales to be in the range of $1.21 billion- $1.25 billion in the third quarter, lower than $1.26 billion- $1.3 billion expected earlier. Adjusted earnings for the quarter are expected in the range of $0.17 - $0.20, compared with the prior guidance of $0.26 - $0.30.

Analysts polled by Thomson Reuters expect the company to report earnings of $0.29 per share on revenue of $1.28 billion for the quarter. Analysts' estimates typically exclude special items.

For the full year, net sales are expected in the range of $4.880 billion - $4.940 billion, below its previous view of $4.97 billion- $5.03 billion. Adjusted EPS is expected in the range of $0.96 - $1.01 compared with $1.12 - $1.18, projected earlier.

The consensus estimate for earnings is $1.17 per share and for revenue is at $5.01 billion for the year.

Additionally, Vertiv announced its decision to acquire E&I Engineering Ireland Limited and its affiliate, Powerbar Gulf LLC.

The deal includes about $1.8 billion in upfront payment, consisting of $1.170 billion in cash and approximately $630 million of Vertiv common stock.

E&I is also entitled to receive up to $200 million in cash on achieving certain 2022 profit targets.

The transaction is expected to close in the fourth quarter of 2021.

VRT closed Tuesday's regular trading at $28.04, down 0.53%. The stock is currently at $27.11.

Read the original article on RTTNews ( https://www.rttnews.com/3224021/vertiv-slips-3-in-pre-market-to-buy-e-i-engineering-ireland-cuts-outlook.aspx)

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