* CD&R in late-stage talks to buy Hussmann-sources
* Hussmann likely valued at less than $750 million-sources
* Platinum Equity also looked, but no longer involved
(Adds comment from companies, details on the business)
By Soyoung Kim and Megan Davies
NEW YORK, Aug 2 Industrial conglomerate
Ingersoll Rand (IR.N) is in late-stage discussions with private
equity firm Clayton Dubilier & Rice to sell its Hussmann
refrigeration business, two people familiar with the matter
The value was not immediately clear on Tuesday. Hussmann --
which provides supermarkets and food retailers with display
cases, refrigeration systems and beverage coolers -- is likely
to be valued at less than $750 million, people familiar with
the business told Reuters previously.
Ingersoll Rand Chief Executive Mike Lamach said on July 21
that the company was on track to sell Hussmann by the end of
the third quarter, but would not comment on a buyer nor the
price it would likely fetch. [ID:nN09281765]
Reuters reported in March that Ingersoll Rand hired
JPMorgan Chase & Co (JPM.N) to sell Hussmann and the auction
drew interest from private equity firms. [ID:nN09281765]
Platinum Equity was among the buyout firms interested in
Hussmann, but it is no longer involved in the process, one of
the people said.
Representatives for CD&R and JPMorgan declined to comment.
Ingersoll Rand and Platinum were not available for comment.
The refrigeration display business is considered highly
cyclical and exposed to rising raw material costs. Grocery
stores and other food retailers held back on new investment
during the recent economic downturn, squeezing margins for
Hussmann and its rivals.
Ingersoll Rand also sold its KOXKA European refrigerated
display business in late 2010 to a unit of American Industrial
Hussmann, founded in 1906 by Harry Hussmann, was sold to
Ingersoll Rand in 2000 for $1.55 billion in cash.
Ingersoll does not break out Hussmann revenues, but the
conglomerate's refrigeration equipment business, which also
includes Thermo King transport equipment, recorded 2010 sales
of $1.9 billion.
(Additional reporting by Michael Erman. Editing by Robert