Johnson Controls Buys Air Distribution Business
MILWAUKEE (AP) -- Johnson Controls, which makes both automotive and building systems, said Wednesday that it's buying Air Distribution Technologies from the Canada Pension Plan Investment Board for about $1.6 billion.
The Dallas-based business is one of the largest independent providers of air distribution and ventilation products in North America. Its brands include Ruskin, Titus, Hart & Cooley, Krueger and Tuttle & Bailey.
The investment board acquired Air Distribution from Tomkins in 2012 for $1.1 billion. When the deal closes, the board expects to receive proceeds of about $1 billion.
Milwaukee-based Johnson Controls said the acquisition will expand its current lineup of building heating, ventilation and air conditioning products and services. The new business will join Johnson Controls' building efficiency platform where it will operate with its own brands, distribution channels and employees.
The deal is expected to close by the end of July.
Shares of Johnson Controls rose 82 cents, or 1.8 percent, to $46.78 in midday trading Wednesday. Its shares had fallen more than 10 percent so far this year through Tuesday's close.