Emerson Completes Sale of Remaining Interest in Copeland to Blackstone

Rhea-AI Summary

Emerson (NYSE: EMR) has announced the completion of the sale of its remaining 40% common equity ownership stake in the Copeland joint venture to private equity funds managed by Blackstone. This transaction marks Emerson's full exit from the Copeland business, which is now positioned as a standalone company focused on serving the global HVAC and refrigeration market.

Copeland's product portfolio includes market-leading compressors, controls, thermostats, valves, software, and monitoring solutions for residential, commercial, and industrial customers. This divestiture aligns with Emerson's strategy to streamline its operations and focus on core business areas.

Positive

• Emerson completes the sale of its remaining 40% stake in Copeland, potentially freeing up capital for other investments or shareholder returns
• The transaction simplifies Emerson's business structure, allowing for a more focused operational strategy

Negative

• Emerson loses its stake in Copeland's market-leading HVAC and refrigeration product portfolio
• The company may experience a reduction in revenue streams associated with the Copeland joint venture

ST. LOUIS and NEW YORK, Aug. 13, 2024 /PRNewswire/ -- Emerson (NYSE: EMR) announced today that it has completed the sale of its remaining interest in the Copeland joint venture, the 40% common equity ownership stake, to private equity funds managed by Blackstone ("Blackstone").

As a standalone company focused on serving the global HVAC and refrigeration market, Copeland's product portfolio includes market-leading compressors, controls, thermostats, valves, software and monitoring solutions for residential, commercial and industrial customers.

About Emerson
Emerson (NYSE: EMR) 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. For more information, visit  Emerson.com. 

About Blackstone
Blackstone is the world's largest alternative asset manager. We seek to deliver compelling returns for institutional and individual investors by strengthening the companies in which we invest. Our more than $1 trillion in assets under management include global investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets, secondaries and hedge funds. Further information is available at www.blackstone.com. Follow @blackstone on LinkedIn, X (Twitter), and Instagram.

Forward-Looking and Cautionary Statements

Statements in this press release that are not strictly historical may be "forward-looking" statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include the scope, duration and ultimate impacts of the Russia-Ukraine and other global conflicts, as well as economic and currency conditions, market demand, pricing, protection of intellectual property, cybersecurity, tariffs, competitive and technological factors, inflation, among others, as set forth in the Company's most recent Annual Report on Form 10-K and subsequent reports filed with the SEC. The outlook contained herein represents the Company's expectation for its consolidated results, other than as noted herein.

Emerson uses our Investor Relations website, www.Emerson.com/investors, as a means of disclosing information which may be of interest or material to our investors and for complying with disclosure obligations under Regulation FD. Accordingly, investors should monitor our Investor Relations website, in addition to following our press releases, SEC filings, public conference calls, webcasts and social media. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

Contacts

For Emerson:

Investors:
Colleen Mettler
(314) 553-2197

Media:
Joseph Sala / Greg Klassen
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449

For Blackstone:

Matt Anderson
Matthew.Anderson@blackstone.com
(212) 390-2472

 

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SOURCE Emerson

FAQ

What did Emerson (EMR) sell to Blackstone on August 13, 2024?

Emerson (EMR) sold its remaining 40% common equity ownership stake in the Copeland joint venture to private equity funds managed by Blackstone.

What products does Copeland offer in the HVAC and refrigeration market?

Copeland offers market-leading compressors, controls, thermostats, valves, software, and monitoring solutions for residential, commercial, and industrial customers in the global HVAC and refrigeration market.

How does the sale of Copeland affect Emerson's (EMR) business focus?

The sale allows Emerson (EMR) to streamline its operations and focus on its core business areas, as Copeland will now operate as a standalone company serving the HVAC and refrigeration market.

When did Emerson (EMR) complete the sale of its remaining stake in Copeland?

Emerson (EMR) completed the sale of its remaining stake in Copeland on August 13, 2024.