Simpson Thacher is representing Johnson Controls International plc (NYSE: JCI) in connection with its announced agreement to sell its Residential and Light Commercial HVAC business to the Bosch Group in an all-cash transaction valued at $8.1 billion. The transaction includes the North America Ducted business and global Residential joint venture with Hitachi, Ltd, of which Johnson Controls owns 60% and Hitachi owns 40%. As part of the transaction, Hitachi will retain certain ductless HVAC assets located in Shimizu, Japan.
The transaction is expected to close in approximately 12 months, subject to required regulatory approvals and other customary closing conditions.
Johnson Controls is a global leader in smart, healthy and sustainable buildings. With a team of 100,000 experts in more than 150 countries, Johnson Controls offers the world's largest portfolio of building technology and software as well as service solutions from some of the most trusted names in the industry. The Bosch Group is a leading global supplier of technology and services, employing roughly 429,000 associates worldwide. The Bosch Group generated sales of 91.6 billion Euros in 2023. Hitachi drives social innovation business, creating a sustainable society through the use of data and technology, with 2023 revenues of 8,564.3 billion yen and approximately 270,000 employees worldwide.
The Simpson Thacher team includes Jakob Rendtorff, Keegan Lopez, Alan Klein, Julia Tory, Daniel Westen, Haley O’Connor, Avery Golombek, Jarius McDade and Joshua Brachfeld (M&A); Jonathan Stradling, Yuji Yagi and Haixuan Yang (M&A – Tokyo); Benjamin Rippeon, Andrew Mandelbaum and Shareef Salfity (Tax); Lori Lesser, Ron Ben-Yehuda, Alysha Sekhon, Kate Mirino and Chandler Gerard-Reimer (IP); Tristan Brown, Alisa Tschorke and Josh Goldman (Executive Compensation & Employee Benefits); Dennis Loiacono and Krista McManus (Real Estate); Brian Steinhardt, Robert Meyer and Kyle Nelson (Banking and Credit); Mick Tuesley, Mark Skerry and Claire DiMario (Foreign Direct Investment); Arielle Katzman (Capital Markets) and Steven DeLott (Insurance).