Lead photo credit: Bosch

It took a year to finalize, but industrial manufacturing conglomerate Bosch just inked the biggest acquisition in the Germany-based company’s 139-year history.

As of July 31, Bosch completed its $8 billion purchase of Johnson Controls’ HVAC unit for residential and light commercial buildings. The deal also includes the joint venture of Johnson Controls and Hitachi Air Conditioning (JCH), including Hitachi’s 40% stake.

Bosch shared that the contracts for the transaction were signed roughly one year ago.

“The entire HVAC industry is in a state of upheaval, and the market and technologies are changing,” Bosch Board Chairman Stefan Hartung said in an Aug. 1 news release. “Bosch is systematically taking advantage of its opportunities and is now moving up to the Champions League in the heating, ventilation, and air conditioning solutions business.”

The acquired HVAC unit essentially doubles the size of Bosch’s Home Comfort Group, which now encompasses more than 25,000 associates, 33 manufacturing sites and 26 engineering sites. Regionally, its business is comprised of approximately 53% EMEA; 28% Asia Pacific; and 19% Americas. Its four global brands of Bosch, Buderus, Hitachi and York are supported by numerous regional brands.

Sullivan & Cromwell — which advised Bosch on all corporate, tax, intellectual property, executive compensation, environmental and antitrust elements of the deal — said the milestone transaction enables Bosch to tap into attractive growth prospects. The law firm noted that the global HVAC market surpassed $174 billion in 2024, with demand — especially for air conditioning units — set to increase in coming years. Bosch said it expects that market to grow by up to 5% every year until 2030.

“This is the biggest transaction in Bosch’s history. It will accelerate the company’s growth, bringing the Home Comfort division to more than €8 billion in sales and expanding the company’s presence in the U.S. and Asia significantly,” Sullivan & Cromwell said in a statement.

Bosch had 2024 annual revenue of $90.3 billion Euros, with 19.7% ($18.6 billion) of that and 41,000 associates in North America, where sales improved 6% annually. Bosch’s 2024 business breakdown was as follows:

• Mobility – 61.8%
• Consumer Goods – 22.4%
• Energy and Building Technology – 8.3%
• Industrial Technology – 7.1%
• Other – 0.4%