- Carrier Global (NYSE:CARR) agreed to sell its Chubb fire and security business to APi Group (NYSE:APG) for an enterprise value of $3.1B. APG gained 4.2% in premarket trading.
- Based in the U.K., Chubb has about 13,000 employees globally and a sales network that space 17 countries in Europe, Asia Pacific and Canada. Carrier's global fire and security products business is not part of the deal, according to a Carrier statement.
- The $3.1B deal includes $2.9B of cash and about $200M of assumed liabilities and other adjustments, according to an APi statement.
- The sale is expected to be complete in late Q4 or early Q1 subject to regulatory approvals. Carrier management is expected to provide more details on the deal on its earnings call on Thursday. APi will discuss the transaction a conference call this morning.
- Bloomberg earlier reported news of a potential deal.
- BofA Securities is acting as financial advisor to Carrier, and Paul, Weiss, Rifkind, Wharton & Garrison and Linklaters are acting as external legal counsel.
- Citi and RBC Capital Markets acted as M&A advisors to APi. Barclays and Citi provided committed financing.
- Recall in late May, Carrier's Chubb fire & security unit is said to get offer from Bain-Advent consortium.