Johnson Controls to Sell Power Solutions Business

Brookfield Business Partners will buy the business for $13.2 billion, company says.

Johnson Controls (NYSE: JCI) has signed an agreement to sell its Power Solutions business to Brookfield Business Partners L.P, together with institutional partners, in a cash transaction valued at $13.2 billion, the company said.

The deal will streamline the company’s portfolio, making it a pure-play building technologies and solutions provider, and give it greater financial flexibility, chairman and CEO George Oliver said in a statement announcing the sale.

Net cash proceeds are expected to be $11.4 billion after tax and transaction-related expenses, according to the company.

“With this transaction, Johnson Controls becomes a pure-play building technologies and solutions provider that is better positioned to lead the integration and evolution of the connected building and to capture strategic opportunities in the HVAC industry,” Oliver said.

 

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.