Johnson Controls and Hitachi have announced that they have signed a non-binding memorandum of understanding (MoU) through which Johnson Controls will obtain a 60% stake in Hitachi Appliances’ global air conditioning business (excluding sales and service operations in Japan and certain other assets), reported by ARC News.
The companies expect the joint venture to begin operations from 2014, subject to final due diligence and board approvals, definitive agreement on terms, required regulatory approvals and other customary conditions.
Known as a leading supplier of heating, ventilation, air-conditioning, building controls, refrigeration and security systems for buildings, Johnson Controls delivers solutions that increase energy efficiency and lower operating costs for over a million customers through its Building Efficiency business by nearly 700 offices in more than 150 countries.
The joint venture with Hitachi will make Johnson Controls the world’s largest commercial air conditioning provider.