The firm gains a controlling interest in the unit through the share purchase, with Emerson annoucing a $600m share repurchase of its own stock to offset any associated earnings dilution.
Missouri-based Emerson’s EC&P business had revenues of about $1.4bn in 2012, and supplies technologies used in communications and computing equipment, ranging from pressure and temperature controls to power supply and fire pump controllers.
Platinum founder, chairman and CEO Tom Gores said, “We have forged a strong partnership with Emerson, coming together in a way that will create success for everyone.
“We will build on the foundation established under Emerson to further position the business as a strong and innovative competitor in the marketplace.”
The transaction is expected to close in three to six months after securing regulatory approvals in various countries.
AltAssets revealed last month that Platinum expected to hit the $3.75bn target for its third fund by the end of July, although no announcement has since been forthcoming from the LA-headquartered firm.
Platinum Equity Capital Partners (PECP) III had already closed commitments of $3.2bn at the start of July according to a source with knowledge of the matter.
PECP III launched in December 2011 with a $10m minimum investment requirement, which has since been removed.
Park Hill Group is acting as placement agent for the vehicle and is currently owed $11.2m in sales commissions, according to the most recent document the firm has filed with the US Securities and Exchange Commission.
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