Johnson Controls Sells Bristol Compressors
March 26, 2007
MILWAUKEE - Johnson Controls Inc. sold Bristol Compressors Inc. to KPS Capital Partners LP, a private equity firm. Financial terms of the transaction were not disclosed.
“We are excited to be the catalyst that transforms Bristol into a thriving competitor in the rapidly changing HVAC industry,” said David Shapiro, a managing partner of KPS. “Bristol successfully developed market-leading products in its Benchmark line that will enable the company to prosper as the North American HVAC industry undergoes significant regulatory and technological changes.”
Bristol, a global manufacturer and designer of compression technology for residential and commercial air conditioning and heat pump applications, supplies OEMs and wholesaler-distributors.
“The company’s established franchise, highly-regarded brands, and commitment to customer service form a terrific base from which to grow the business both domestically and internationally,” remarked Shapiro.
Bristol’s senior management team will implement a business plan developed in partnership with KPS focused on improving manufacturing operations, productivity, and supply chain management. The KPS investment will also provide the company with access to substantial capital to continue new product development. “This transaction marks the beginning of a new era for Bristol, with a new owner that has a track record of elevating good companies to achieve world-class operating performance,” said Rick Izor, CEO of Bristol. “KPS’ manufacturing expertise and capital resources will advance Bristol’s position as a leading manufacturer and distributor of compressors.”
Johnson Controls acquired Bristol Compressors as part of the York International Corp. acquisition in December 2005. In January of 2006, the company began exploring various strategic alternatives for its Bristol Compressors.
Later that year Johnson Controls sold its interest in Scroll Technologies Inc., a joint venture with Carrier Corp., a unit of United Technologies Corp. Danfoss purchased 100 percent of Scroll Technologies, including all the ownership interests of both Johnson Controls and Carrier. Results of the acquisition created Bristol Compressors International Inc.
Publication date: 03/26/2007