Bosch completes the largest transaction in its history – buying part of the business from Johnson Controls for $8B

Bosch has announced the completion of the acquisition of the residential and light commercial HVAC business owned by Johnson Controls.

This was reported to AIN by the company.

This acquisition was the largest in Bosch’s history. Its value was about $8 billion (approximately €7.4 billion). According to the company’s estimates, the sales volume of the Bosch Home Comfort division doubled to more than €8 billion. The number of employees also increased to more than 25 thousand.

As part of the agreement, Bosch will gain access to new markets in North America, Asia and other regions, as well as to the York and Hitachi brands, which it will continue to use under license. In total, the company’s production network will increase from 17 to 33 plants, and the number of development centers will increase from 14 to 26.

The company notes that with the new product line, Home Comfort plans to grow much faster than the global HVAC market. The company forecasts 5% growth annually until 2030 as part of its strategy.

“Bosch wants to become one of the leading companies in every industry by 2030 and is expanding its business with strategic investments in promising areas. Acquisitions are also part of this strategy,” said Christian Fischer, Deputy Chairman of the Board of Management responsible for strategic growth initiatives and portfolio management.

In addition, according to Bosch, the global market for heating, ventilation and air conditioning systems was worth more than €150 billion in 2024. Air conditioning systems accounted for two-thirds of this amount. The company notes that demand for these products will grow due to global warming and other factors.

The company also says that global sales of air conditioners will grow to more than 200 million units per year by 2030 – an increase of almost 20% over 2024.

Acquisition details

At the end of July 2024, German electronics manufacturer Bosch announced that it was acquiring Johnson Controls’ air conditioning business.

According to the company’s press service, as part of the deal, Bosch intended to acquire 100% of the Johnson Controls-Hitachi Air Conditioning (JCH) joint venture, including a 40% stake in Hitachi.

The value of the acquired businesses was $8 billion (€7.4 billion). The deal was expected to close in about 12 months.