Brookfield Completes Acquisition of Chemelex
Brookfield Asset Management and Brookfield Business Partners have completed the acquisition of Chemelex from nVent Electric Plc for $1.7 billion. Chemelex is a global leader in electric heat trace systems, specialized wiring systems that regulate pipe temperatures in industrial plants and commercial buildings. The company, which invented electric heat tracing in 1972, serves industrial, commercial, residential, energy, and infrastructure markets.
The acquisition was funded with approximately $830 million of equity, with Brookfield Business Partners investing $210 million for a 25% interest. The remaining funding came from institutional partners. Brookfield brings expertise in driving operational transformation in industrials and manufacturing businesses, with previous investments including Clarios, Westinghouse, and GrafTech.
Brookfield Asset Management e Brookfield Business Partners hanno completato l'acquisizione di Chemelex da nVent Electric Plc per 1,7 miliardi di dollari. Chemelex è un leader globale nei sistemi di tracciamento elettrico, sistemi di cablaggio specializzati che regolano le temperature dei tubi in impianti industriali e edifici commerciali. L'azienda, che ha inventato il tracciamento elettrico nel 1972, serve i mercati industriali, commerciali, residenziali, energetici e delle infrastrutture.
L'acquisizione è stata finanziata con circa 830 milioni di dollari di capitale, con Brookfield Business Partners che ha investito 210 milioni di dollari per una partecipazione del 25%. Il finanziamento restante proviene da partner istituzionali. Brookfield porta competenze nella trasformazione operativa nelle aziende industriali e manifatturiere, con investimenti precedenti tra cui Clarios, Westinghouse e GrafTech.
Brookfield Asset Management y Brookfield Business Partners han completado la adquisición de Chemelex de nVent Electric Plc por 1.7 mil millones de dólares. Chemelex es un líder global en sistemas de trazado eléctrico, sistemas de cableado especializados que regulan las temperaturas de tuberías en plantas industriales y edificios comerciales. La empresa, que inventó el trazado eléctrico en 1972, sirve a los mercados industrial, comercial, residencial, energético y de infraestructura.
La adquisición se financió con aproximadamente 830 millones de dólares de capital, con Brookfield Business Partners invirtiendo 210 millones de dólares por una participación del 25%. El financiamiento restante provino de socios institucionales. Brookfield aporta experiencia en la transformación operativa en empresas industriales y manufactureras, con inversiones anteriores que incluyen Clarios, Westinghouse y GrafTech.
브룩필드 자산 관리와 브룩필드 비즈니스 파트너스가 nVent Electric Plc로부터 Chemelex를 17억 달러에 인수했습니다. Chemelex는 산업 공장 및 상업 건물의 파이프 온도를 조절하는 전문 배선 시스템인 전기 열 추적 시스템의 글로벌 리더입니다. 1972년 전기 열 추적을 발명한 이 회사는 산업, 상업, 주거, 에너지 및 인프라 시장에 서비스를 제공합니다.
이번 인수는 약 8억 3천만 달러의 자본으로 자금 조달되었으며, 브룩필드 비즈니스 파트너스는 2억 1천만 달러를 투자하여 25%의 지분을 보유하게 되었습니다. 나머지 자금은 기관 파트너로부터 조달되었습니다. 브룩필드는 Clarios, Westinghouse 및 GrafTech와 같은 이전 투자를 통해 산업 및 제조업체의 운영 변환을 주도하는 전문성을 제공합니다.
Brookfield Asset Management et Brookfield Business Partners ont terminé l'acquisition de Chemelex auprès de nVent Electric Plc pour 1,7 milliard de dollars. Chemelex est un leader mondial des systèmes de traçage électrique, des systèmes de câblage spécialisés qui régulent les températures des tuyaux dans les usines industrielles et les bâtiments commerciaux. L'entreprise, qui a inventé le traçage électrique en 1972, dessert les marchés industriels, commerciaux, résidentiels, énergétiques et d'infrastructure.
L'acquisition a été financée par environ 830 millions de dollars de capitaux propres, avec Brookfield Business Partners investissant 210 millions de dollars pour une participation de 25 %. Le reste des financements provient de partenaires institutionnels. Brookfield apporte son expertise dans la transformation opérationnelle des entreprises industrielles et manufacturières, avec des investissements précédents comprenant Clarios, Westinghouse et GrafTech.
Brookfield Asset Management und Brookfield Business Partners haben die Übernahme von Chemelex von nVent Electric Plc für 1,7 Milliarden Dollar abgeschlossen. Chemelex ist ein globaler Marktführer in elektrischen Heiztrace-Systemen, spezialisierten Verkabelungssystemen, die die Temperaturen von Rohren in Industrieanlagen und gewerblichen Gebäuden regulieren. Das Unternehmen, das 1972 das elektrische Tracing erfand, bedient die Märkte für Industrie, Gewerbe, Wohnen, Energie und Infrastruktur.
Die Übernahme wurde mit rund 830 Millionen Dollar Eigenkapital finanziert, wobei Brookfield Business Partners 210 Millionen Dollar für einen Anteil von 25% investierte. Die verbleibende Finanzierung stammt von institutionellen Partnern. Brookfield bringt Expertise in der Umsetzung operativer Transformationen in der Industrie und im Fertigungssektor mit vorherigen Investitionen in Clarios, Westinghouse und GrafTech.
- Strategic acquisition of market leader in essential industrial products
- Strong market position with high barriers to entry
- Diversified end markets across industrial, commercial, and infrastructure sectors
- Established brand recognition as original inventor of electric heat tracing
- Significant equity investment structure with institutional backing
- Substantial acquisition cost of $1.7 billion requiring significant leverage
- 25% ownership stake for Brookfield Business Partners
Insights
This
Chemelex's market position is particularly valuable due to three key factors:
- Proprietary technology and patents as the original inventor of electric heat tracing
- High barriers to entry in a specialized industrial niche
- Diverse end-market exposure across industrial, energy and infrastructure sectors
The acquisition presents substantial operational enhancement opportunities through Brookfield's proven playbook:
- Leveraging Brookfield's global industrial portfolio for cross-selling opportunities
- Implementing operational improvements as a standalone entity
- Expanding into emerging markets and clean energy applications
For BBUC investors, this represents a strategic addition to the portfolio, providing exposure to mission-critical industrial technology with stable recurring revenue streams. The transaction's structure, utilizing significant institutional co-investment, demonstrates efficient capital deployment while maintaining meaningful upside potential for BBUC shareholders.
NEW YORK, Feb. 03, 2025 (GLOBE NEWSWIRE) -- Brookfield Asset Management (NYSE: BAM, TSX: BAM) through one of its private equity funds, together with its listed affiliate Brookfield Business Partners (NYSE: BBU, BBUC; TSX: BBU.UN, BBUC), today announced that it has completed the acquisition of Chemelex (“the business”) from nVent Electric Plc for a purchase price of
Chemelex is a global leader in the design and manufacturing of electric heat trace systems, the specialized wiring systems that regulate the temperature of pipes in industrial plants and commercial buildings. With high barriers to entry and strong brand recognition as the inventor of electric heat tracing in 1972, the business sells its products into the industrial, commercial and residential, traditional and clean energy, and infrastructure markets.
Dave Gregory, a Managing Partner in Brookfield’s Private Equity Group, said “Chemelex is a global market leader providing an essential product and service with extensive connectivity to the Brookfield ecosystem through its end markets. We’re excited to draw on our deep expertise in industrials and corporate carve-outs as we partner with the team to enhance operations and unlock its full potential as an independent business.”
Brookfield brings deep global expertise of investing in and driving operational transformation in industrials and manufacturing businesses. Previous investments include Clarios, the global leader in advanced low-voltage batteries, Westinghouse, a leader in providing mission-critical technologies, products and service to the nuclear power industry and GrafTech, a global manufacturer of graphite electrodes.
Funding
Brookfield’s investment was funded with approximately
Brookfield Asset Management (NYSE: BAM, TSX: BAM) is a leading global alternative asset manager, headquartered in New York, with over
Brookfield’s private equity business, which manages over
Brookfield Business Partners is the flagship listed vehicle of Brookfield’s private equity group. It is a global business services and industrials company focused on owning and operating high-quality businesses that provide essential products and services and benefit from a strong competitive position.
Investors have flexibility to invest in Brookfield Business Partners either through Brookfield Business Partners L.P. (NYSE: BBU; TSX: BBU.UN), a limited partnership or Brookfield Business Corporation (NYSE, TSX: BBUC), a corporation. For more information, please visit https://bbu.brookfield.com.
For more information, please contact:
| Investor Relations: Alan Fleming Tel: +1 416 645 2736 Email: alan.fleming@brookfield.com | Media: Marie Fuller Tel: +44 207 408 875 Email: marie.fuller@brookfield.com |
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