(Adds details, background)
PARIS, April 3 French electrical gear maker
Schneider Electric said it was in exclusive talks with
private equity groups The Carlyle Group and PAI Partners
to sell its sensors business in a deal based on an enterprise
value of $900 million.
Schneider said it would reinvest about $100 million in the
business - Custom Sensors & Technologies (CST) - in order to
have a shareholding of about 30 percent.
CST designs and makes sensors for clients in the aerospace,
transport, energy, medical, and food and drink industries, among
others. It had revenue of about $600 million last year, with
approximately 4,500 employees in more than 30 countries.
"CST is a well-run, global company, positioned in an
attractive market place," Laurent Rivoire, a partner at PAI,
said in a joint statement with The Carlyle Group.
The deal is subject to consultation with French staff works
councils, after which the companies said they would enter final
Schneider said in February that it was shifting its focus to
making its existing business more efficient after a decade-long
acquisition spree in which tripled in size. The world's No. 1
maker of low-and-medium voltage equipment had taken over more
than 100 companies in the last 10 years.
(Reporting by James Regan; Editing by Andrew Callus and Jane