As part of this transaction, Bosch also intends to acquire 100 percent of the Johnson Controls-Hitachi Air Conditioning (JCH) joint venture, including Hitachi’s 40 percent stake. The purchase price for the acquired businesses is eight billion dollars (7.4 billion euros) and the acquisition is expected to be closed in approximately 12 months.

The integration will result in a workforce of more than 26,000 bringing a complementary portfolio bridging heating and cooling. Bosch chairman Stefan Hartung said that this is the “biggest transaction in Bosch history and important milestone in the implementation of our corporate strategy for 2030”.

It is expected that this acquisition will boost Bosch Home Comfort Group sales revenue from roughly five billion euros to nine billion euros. Bosch deputy chairman Christian Fischer said that the “acquired entities will strengthen Home Comfort in an extremely attractive segment, and will become part of Bosch core business”.

The Bosch shareholders and supervisory board have approved the transaction. Binding agreements on the acquisitions have been signed by the parties involved although the acquisition is subject to approvals from the antitrust authorities.