Joele Frank is handling Emerson’s deal to sell a majority stake in its Climate Technologies business to Blackstone, a transaction that values the compressor and refrigeration unit at $14B.
The St. Louis-based industrial company will receive proceeds of $9.5B for Climate Technologies, which chalked up $5B in fiscal 2022 revenues and $1B in pre-tax earnings.
The Climate Technologies’ deal is part of Emerson CEO Lal Karsanbhai's strategy to divest non-core business while investing in software and intelligent devices to position as a pure-play automation products company serving diverse end-markets
Emerson will retain a 45 percent stake in Climate Technologies to participate in its upside potential under Blackstone.
Abu Dhabi Investment Authority and GIC, Singapore’s state fund, are investing with Blackstone in Climate Technologies.
Joele Frank, Wilkinson Brimmer Katcher’s Joseph Sala and Tanner Kaufman represent Emerson.