U.S. industrial firm Emerson Electric Co is selling a majority stake in its climate-technologies unit to Blackstone Inc, in a deal that would value the unit at $14 billion including debt, the Wall Street Journal reported on Monday.
The deal, expected to be announced later in the day, would give Blackstone a 55% stake in the unit, according to the report, citing executives. Emerson would retain a 45% stake.
Blackstone and its co-investors would contribute $4.4 billion in equity toward the deal, which would be supplemented by $5.5 billion of debt financing, the report said.
Last month, Emerson Electric announced that it would sell its Russian business to the local management team for an undisclosed amount.
The manufacturing giant has reshuffled its businesses across segments and geographies in recent times, after announcing an $11 billion merger of its software units with rival Aspen Technology Inc (AZPN.O) last year.
Emerson Electric and Blackstone did not immediately respond to Reuters’ request for comment outside regular business hours.
Source: Reuters.com