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Emerson is selling a controlling stake in its climate technology division to Blackstone for $14 billion

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© Reuters. FILE PHOTO: Emerson Electric Co is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, U.S., January 13, 2020. REUTERS/Brendan McDermid

(Reuters) – U.S. industrial company Emerson (NYSE: ) Electric Co is selling a controlling stake in its climate technology unit to Blackstone (NYSE: ) Inc in a deal that values ​​the unit at $14 billion, including debt, Wall Street This was reported by the magazine on Monday.

The deal, to be announced later in the day, will give Blackstone a 55% stake in the unit, according to a report citing executives. Emerson will retain a 45% stake.

Blackstone and its co-investors will contribute $4.4 billion in equity to the deal, which will be supplemented by $5.5 billion in debt, the report said.

Emerson Electric announced last month that it would sell its Russian business to the local government for an undisclosed sum.

The manufacturing giant has recently reshuffled its business across segments and regions after announcing an $11 billion software merger with rival Aspen Technology (NASDAQ: ) Inc. last year.

Emerson Electric and Blackstone did not immediately respond to Reuters’ request for comment after hours.

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