Simpson Thacher is representing Tyco International in the sale of a majority interest in its Electrical & Metal Products business to affiliates of Clayton, Dubilier & Rice, LLC. Under the terms of the transaction, Tyco will receive aggregate consideration at closing of approximately $720 million and retain a significant equity stake in the business following the closing. The sale is expected to close in the first half of Tyco’s 2011 fiscal year. Simpson Thacher also represented Tyco International in connection with its previously announced potential spin-off of the Electrical & Metal Products business, which will now be withdrawn.
Tyco International’s Electrical & Metal Products business designs, manufactures and sells galvanized steel tubes and pipes, electrical conduit, armored wire and cable, metal framing systems and building components. The business serves a wide range of construction, electrical, fire, security, and mechanical applications and generated revenue of $1.4 billion in 2010.
The Simpson Thacher team for the sale and the prior spin-off transaction includes Alan Klein, Anthony King, Markus Lotz, Nick Ferrer, Jonathan Lieberman and John Wang (M&A); Greg Grogan, Wonda Quinn and David Schneider (Executive Compensation and Employee Benefits); Scott Dyer and Julie Levy (Labor); Adeeb Fadil and Noreen Lavan (Environmental); Marcela Robledo (IP); Krista McManus and Davis Coen (Real Estate) and Marissa Wesely and Vanessa Bressler (Financing).