We are advising Emerson on the sale

Davis Polk is advising Emerson Electric Co. on the sale of its remaining interests in the Copeland joint venture, formerly Emerson Climate Technologies, for a transaction value of approximately $3.5 billion. Private equity funds managed by Blackstone will purchase Emerson’s 40% common equity ownership in the joint venture, while Copeland will repurchase the seller’s note. A wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA) and GIC will invest alongside Blackstone as part of the transaction. The transactions are expected to close in the second half of 2024, subject to regulatory approvals and customary closing conditions.

Emerson is a global technology and software company providing innovative solutions for the world’s essential industries. Through its leading automation portfolio, including its majority stake in AspenTech, Emerson helps hybrid, process and discrete manufacturers optimize operations, protect personnel, reduce emissions and achieve their sustainability goals.

Copeland, formerly Emerson’s Climate Technologies business, was created via a joint venture between Blackstone and Emerson in 2023. Copeland provides sustainable climate solutions, combining category-leading brands in compression, controls, software and monitoring for heating, cooling and refrigeration. 

Blackstone is the world’s largest alternative asset manager, with more than $1 trillion in assets under management including global investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets, secondaries and hedge funds.

The Davis Polk corporate team includes partner Marc O. Williams and associates Jack Gordge, Samuel Liebmann and Cameron K. Hood. Partner Christopher Nairn-Kim is providing finance advice. Partners Michael Mollerus and Corey M. Goodman, counsel Aliza Slansky and associate Yueyu Yang are providing tax advice. Counsel Matthew Yeowart and associate Dylan Jones are providing antitrust and competition advice. Members of the Davis Polk team are based in the New York and London offices.

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