Johnson Controls & Tyco Complete Merger
Cork, Ireland — With a vision to create a safe, comfortable and sustainable world, a newly formed Johnson Controls Inc. (NYSE: JCI) begins operations following the successful completion of its merger with Tyco, marking a historic turning point for both companies.
By uniting Johnson Controls, a primary provider of building efficiency solutions, with Tyco, a primary provider of fire and security solutions, the new company is uniquely positioned as a leader in products, technologies and integrated solutions for the buildings and energy sectors.
With $30 billion in revenue and 117,000 employees (following the anticipated spinoff of the Adient automotive business in October), this combination brings together best-in-class product, technology and service capabilities across controls, fire, security, HVAC and energy storage to serve the full spectrum of end markets, including large institutions, government, commercial buildings, retail, industrial, small business and residential. Tyco and Johnson Controls’ buildings platforms create immediate opportunities for growth through cross-selling, complementary branch and distribution channel networks, and expanded global reach for established businesses.
Longer term, the company is uniquely positioned to drive new innovations in technology and business models to support the smart buildings, campuses and cities of the future as well as build upon strategic, high-value-added services driven by data analytics and connectivity such as the Retail Solutions and Connected Services businesses. Johnson Controls also will have one of the largest energy storage platforms with capabilities spanning the technology spectrum to serve an expanding global energy-storage market.
“We are more than just two businesses that have come together — we are now one team uniquely positioned to create value,” said Alex Molinaroli, Johnson Controls chairman and CEO. “Our combined insights and world-class technologies will help build even smarter, more secure and more sustainable environments that help our customers win and broadly move the world forward.”
As a result of the robust integration planning already in place, the company is on track to realize $1 billion of savings related to previously announced merger synergies and productivity initiatives.
”In addition to identifying significant synergies and improvements, our integration teams put us in position to complete the merger a month ahead of schedule so we can hit the ground running and realize the value of the merger for customers and shareholders,” said George R. Oliver, Johnson Controls president and COO. “We are ready to integrate the skill sets and capabilities of both companies and develop solutions to meet our customers’ needs in ways neither company could on its own.”
As previously announced, Johnson Controls’ automotive business is still on schedule to spin off into an independent company, known as Adient, on Oct. 31.
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