Brookfield Business Partners L.P. (NYSE:BBU) (TSX:BBU.UN) ("Brookfield Business Partners") together with institutional partners (collectively, “Brookfield”) and Caisse de dépôt et placement du Québec (“CDPQ”), announced that they have reached an agreement whereby Brookfield and CDPQ will acquire 100% of Johnson Controls’ Power Solutions business (“the Business”) for approximately $13.2 billion.
Johnson Controls’ power solutions business, which makes and distributes about 154 million lead-acid batteries for passenger cars and light trucks annually, carries higher margins but has been capital intensive for Johnson Controls, analysts have said. Brookfield is a leading global alternative asset manager with over USD 330 billion in assets under management. This acquisition will grow the power solutions industry and long-term commitment from Brookfield.
This multi-jurisdiction transaction required close coordination and synchrony of all workstreams involved to structure, produce and deliver all of the closing documents (acquisition documents and related notices to and consents, facility agreements for the acquisition financing and implementation of the security package) for bringing this important transaction to a successful close, all of which added notable complexity to the deal.
Creel, García-Cuéllar, Aiza y Enríquez served as Mexican legal counsel and advisers to the Lead Arrangers and the lender syndicate in this jumbo acquisition financing. A complex security package was negotiated and will be executed in the next 120 days. Pedro Velasco (Partner) led the transaction and Alejandro Isaac (Senior Associate - Banking & Finance) and José Pablo Buenfil (Associate - Banking & Finance) assisted.
