Johnson Controls recently announced it reached a definitive agreement to acquire Canada Pension Plan Investment Board’s Air Distribution Technologies business for approximately $1.6 billion.
Air Distribution Technologies produces air-distribution products, including grilles, registers, diffusers, terminal units, fire and smoke dampers, and fans, under brands such as Ruskin, Titus, Hart & Cooley, Krueger, PennBarry, and Tuttle & Bailey.
“This investment expands Johnson Controls’ position in the buildings space with additional products that are complementary to our existing heating, ventilation, and air-conditioning offerings,” Alex Molinaroli, Johnson Controls chairman and chief executive officer, said. “It reflects our stated commitment to invest in the buildings business as a growth platform and further enhances our offerings and channels.”
Air Distribution Technologies will be aligned under Johnson Controls’ Building Efficiency platform, where it will operate with its own brands, independent distribution channels, and employees. The combination of the two companies will be guided jointly by Johnson Controls and Air Distribution Technologies leadership.
“Air Distribution Technologies customers will have undisrupted access to the products and brands that they have come to expect,” Molinaroli said.
The acquisition is subject to limited conditions and is expected to close by the end of July.