Advertisement

Updated March 24th, 2024 at 12:43 IST

Bosch, Samsung compete for Johnson Controls' HVAC assets

While Bosch, Lennox, and Samsung are among the frontrunners, additional bidders may emerge, and any potential deal is still several months away.

Reported by: Business Desk
Bosch
Bosch | Image:Bosch
Advertisement

HVAC Assets in focus: Industrial giants Robert Bosch GmbH, Lennox International, and Samsung Electronics are reportedly in contention to acquire heating and ventilation assets valued at over $6 billion from Johnson Controls International, according to sources familiar with the matter.

Johnson Controls, based in Milwaukee, has been collaborating with advisors to offload its residential and light commercial businesses, including its US operations and a 60 per cent stake in an air-conditioning venture with Japan's Hitachi called Johnson Controls–Hitachi Air Conditioning, sources disclosed on Friday, speaking on condition of anonymity due to the confidential nature of the discussions.

Advertisement

While Bosch, Lennox, and Samsung are among the frontrunners, additional bidders may emerge, and any potential deal is still several months away, the sources cautioned.

In response to inquiries, a spokesperson for Johnson Controls reiterated the company's commitment to streamlining its operations and maximising value for shareholders. The spokesperson stressed the company's ongoing evaluation of its portfolio to align with its transformation into a comprehensive solutions provider for commercial buildings.

Advertisement

Representatives for Bosch, Lennox, and Samsung did not immediately respond to requests for comment on the matter.

Johnson Controls has been actively divesting non-core businesses as part of its strategic realignment efforts. Established in 1885, the company manufactures a diverse range of appliances and equipment for commercial buildings, as well as home comfort appliances. 

Advertisement

Its offerings include electronic systems for various sectors such as ventilation, security, and fire detection.

Despite challenges, Johnson Controls' shares have experienced a modest rise of about 12 per cent since the beginning of the year, closing at $63.75 on Friday and boasting a market capitalisation of approximately $43 billion.

Advertisement

(With Reuters Inputs)

Advertisement

Published March 24th, 2024 at 12:43 IST

Your Voice. Now Direct.

Send us your views, we’ll publish them. This section is moderated.

Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Whatsapp logo