Joint venture to capitalize on growing demand for air conditioning
December 18, 2013
Johnson Controls, Inc., Hitachi, Ltd. and Hitachi Appliances, Inc. (collectively referred to as Hitachi) recently announced that the companies have signed a non-binding memorandum of understanding for Johnson Controls to obtain a 60 per cent ownership stake in Hitachi Appliances’ global air conditioning business, excluding sales and service operations in Japan and certain other assets. The companies expect the joint venture to begin operations in 2014, subject to final due diligence, approvals and other customary conditions. The partnership will include key products such as variable refrigerant flow (VRF) and inverter technologies supporting both the commercial and residential markets.