Emerson Electric Co. (NYSE:EMR) is in talks with Blackstone Inc. (NYSE:BX) to sell at least part of its commercial and residential solutions business, according to people familiar with the matter. A deal could be valued at between $5 billion to $10 billion, depending on how much of the portfolio changes hands, said the people, who asked to not be identified because the talks are private.

No final decision has been made and discussions could fall through. If the transaction is agreed, it would mark a sizable private equity deal in an increasingly difficult environment. Tightening credit markets and slowing economic growth are keeping many buyout firms on the sidelines.

Representatives for Blackstone and Emerson declined to comment.