USA/JAPAN: Carrier has confirmed that it has signed a binding agreement to acquire Toshiba’s ownership stake in the Toshiba Carrier air conditioning business – a deal reportedly worth $870m.
The global alliance was established in 1999, with Toshiba holding a 60% stake. Toshiba Carrier designs and manufactures flexible, energy-efficient and high-performance VRF and light commercial HVAC systems utilising its own proprietary inverter technology, as well as commercial products, compressors and heat pumps.
In a statement this morning, Carrier said: “The planned acquisition will strengthen Carrier’s position in one of the fastest-growing HVAC segments, as well as scale its global VRF product platform with leading and differentiated technology and the addition of a renowned brand to its portfolio.”
The acquisition will include all of Toshiba Carrier’s research and development centres and global manufacturing operations, strong product pipeline, and the long-term use of Toshiba’s brand. This includes Toshiba Carrier Air Conditioning Sales (Shanghai), Toshiba Carrier Thailand, Toshiba Carrier China, Toshiba Carrier Europe, TCFG Compressor (Thailand) and Toshiba Techno System Co Ltd.
Toshiba’s train air conditioning business, part of of Toshiba’s Infrastructure Systems & Solutions division is not subject to the transfer.
The acquisition is expected to close by September 30, subject to customary closing conditions, including regulatory approvals. Toshiba will retain a 5% ownership stake in TCC, and Carrier will consolidate over $2bn in unconsolidated revenue.
Commenting on the deal, Carrier chairman and CEO Dave Gitlin said: “Carrier sees significant growth potential in the global VRF, light commercial and heat pump segments and is excited by the opportunity to expand our business through this strategic acquisition. TCC’s proven R&D expertise, strong global brand and talented employees will be tremendous additions to Carrier’s multi-brand channel strategy,”
Gitlin’s counterpart, Satoshi Tsunakawa, president and CEO of Toshiba, commented: “We are pleased that TCC employees will continue the growth and innovation journey of Toshiba’s HVAC business as part of Carrier, benefiting from its unparalleled global reach, strong dealer network and shared history of innovation.”
Today’s announcement builds on Carrier’s acquisition last year of Chinese HVAC product manufacturer Guangdong Giwee Group.
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