The Duchossois Group, the company founded by Arlington Park chairman emeritus Richard Duchossois, is selling its Oak Brook-based Chamberlain Group to funds managed by the private-equity firm Blackstone in a deal valued at $5 billion.
Chamberlain, the maker of garage door openers and security products sold under several brand names, will remain privately held and the Duchossois Group "will retain meaningful ownership" in the company and two seats on its board of directors, under terms of the sale announced Tuesday.
According to the announcement, New York-based Blackstone is expected to provide additional resources and expertise for Chamberlain to scale its software-based and connected services business into new markets.
"Today marks an important inflection point for Chamberlain Group as it continues its growth and transformation story," Chamberlain CEO JoAnna Sohovich said in the announcement. "I enthusiastically support this transaction because it is in the best interests of our shareholders and our company."
Craig Duchossois, Richard's son and executive chair of The Duchossois Group, said he expects Chamberlain to benefit from the sale.
"Chamberlain has been an important part of our family since 1980," he said. "The Duchossois Group has instilled deep-rooted values and resources across Chamberlain Group, and we are exceptionally proud of the strong, vibrant and growing business it is today."
The transaction is expected to close by the end of 2021, subject to regulatory approvals and closing conditions.
"The Duchossois Group and Chamberlain Group's leadership team have built a tremendous business," said Peter Wallace, global head of core private equity at Blackstone. "We admire the company's deep commitment to quality, the brand loyalty it has earned through consistent excellence, and its constant drive to enrich customer offerings through technology. We believe these qualities will continue to drive growth for years to come, and we are excited to partner with the company on that journey."