Aug 12 (Reuters) - Hubbell said on Tuesday it

will acquire smaller peer DMC Power for $825 million in cash, as

the electrical equipment maker bolsters its critical components

portfolio to meet an expected boom in power demand.

DMC designs and makes connector technology systems for

high-voltage power infrastructure, and complements Hubbell's

existing substation and transmission connector solutions, the

acquiring firm said.

Growing demand for artificial intelligence has fueled

investments into modern data centers, in turn boosting the

requirement for power infrastructure and components, and

benefiting manufacturers like Hubbell and DMC Power.

"As load growth, datacenter buildouts and aging

infrastructure drive highly visible utility substation and

transmission investment over the next several years, the

acquisition of DMC Power expands Hubbell's strong presence in

these attractive markets," said Hubbell CEO Gerben Bakker.

Last month, Hubbell raised its annual profit forecast

banking on strong demand for its products.

DMC has more than 350 employees and two manufacturing

facilities along with multiple distribution facilities located

across North America, Hubbell said.

Hubbell expects the deal to close by the end of this year,

and boost its adjusted earnings per share in 2026. It plans to

finance the transaction with a combination of cash on hand and

debt.