JOHNSON Controls has announced its intention to buy
US hvacr equipment manufacturer York for £1.8bn
($3.2bn). The deal, which has been approved by
the boards of directors of both companies, will include
the assumption of approximately £443m
($800m) of York debt. The deal is expected to be
completed in December and is subject to shareholder
approval and regulatory approvals.
York has estimated sales of nearly £2.8bn
($5bn), against the Controls Group of
Johnson Controls's sales of close-on £3.3bn
($6bn).
As a result of the acquisition, Johnson Controls
will design and sell integrated controls and hvacr
equipment, making it the largest global provider to the
building services market.
York International has its UK headquarters in
Basildon, from where it manufactures more than 1,500
chillers and heat pumps each year, most of which are
exported.
In addition to Basildon, the company has seven
main UK offices located in Birmingham, Bristol, Cardiff,
Gateshead, Glasgow, Manchester, Newbury (Controls
Group) and Slough. Other York-owned companies in
the UK include compressor remanufacturer Preston
Refrigeration.
York also has two offices in Ireland and 18 further
sales and service operations around the country.