S&P Global to sell Engineering Solutions business to KKR for $975M

S&P Global (SPGI) announced that it has entered into an agreement to sell its Engineering Solutions business to investment funds managed by KKR (KKR) for $975M in cash, subject to customary purchase price adjustments. S&P Global currently anticipates the divestiture to result in after-tax proceeds of approximately $750M, which proceeds are expected to be used to fund share repurchases. The agreement follows S&P Global’s announced intent in November 2022 to divest the business. Engineering Solutions provides data, technology, and insights that allow over 6,000 global customers and 650,000 users to optimize workflows and end-user experiences. Its products enable engineers, builders, and architects in many industries to access the data and insights they need to deliver complex projects and new products. KKR is making the investment through its North America Fund XIII. Engineering Solutions became part of S&P Global following the company’s merger with IHS Markit early last year. The transaction, which is subject to receipt of required regulatory approvals and satisfying other customary closing conditions, is expected to close by the end of the second quarter of 2023.