Crane Company's (CR) $1.15 billion acquisition of Precision Sensors & Instrumentation from Baker Hughes (BKR) will complement its product portfolio, especially the nuclear business, UBS said in a Monday research report.

Crane Company will integrate and grow the acquired company, as management expects the deal to double the size and capabilities of its nuclear business within the process flow technologies segment, according to the note.

The addition of the Druck brand will also expand Crane's aerospace and electronics segment's presence in ground-based test and calibration equipment, analysts noted.

Crane management projected that the Precision Sensors acquisition will drive long-term sales growth by 4% to 6%, with operating profit leveraging at almost 35%, according to the brokerage.

UBS reiterated its buy rating on the stock and increased its price target to $215 per share from $190 earlier.

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