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Emerson Reaches Agreement to Sell Network Power for $4 Billion to Platinum Equity

ST. LOUIS--(BUSINESS WIRE)--Emerson (NYSE: EMR) today announced an agreement to sell Network Power to Platinum Equity and a group of co-investors. The transaction is valued at $4 billion and Emerson will retain a subordinated interest in Network Power. The sale of Network Power is expected to close by December 31, 2016, subject to customary regulatory approvals.

“This agreement marks a major milestone in the strategic portfolio repositioning we announced last June”

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“This agreement marks a major milestone in the strategic portfolio repositioning we announced last June,” said David N. Farr, Chairman and Chief Executive Officer of Emerson. “By selling Network Power to Platinum Equity, we have achieved a successful result for our shareholders as part of our plan to streamline Emerson to create a more focused company with significant opportunities for growth and profitability in our core served markets. We believe Network Power has a bright future ahead and Platinum Equity is well-positioned to help the company continue to thrive and realize its full potential.”

With revenue of approximately $4.4 billion in fiscal 2015, Network Power, based in Columbus, Ohio is a leading provider of thermal management, A/C and D/C power, transfer switches, services and information management systems for the data center and telecommunications industries.

"I'm very proud of the relationship and mutual trust that the Emerson and Platinum Equity teams have built with one another," said Platinum Equity Chairman and CEO Tom Gores. "Emerson is a world class company that we know shares our commitment to creating value, and this is an...


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