Johnson Controls Exploring Strategic Alternatives For Power Solutions Business

Johnson Controls Exploring Strategic Alternatives For Power Solutions Business

Johnson Controls expects to complete its assessment of strategic alternatives over the next several months. To assist the company in its review, Johnson Controls has retained Centerview Partners as financial advisers.

Johnson Controls International plc (JCI) announced that it is exploring strategic alternatives for its Power Solutions business.

Johnson Controls’ portfolio includes two leading platforms within their respective industries – an integrated buildings technology and solutions business and a power solutions business that is a global leader in battery solutions for the automotive sector, with an advantaged position in the aftermarket. JCI says both of these platforms are well-positioned but also are navigating markedly different industry landscapes with unique strategic, financial and operational opportunities and requirements.

“Creating shareholder value is our top priority. Our focus is on improving operational execution, realizing merger synergy and productivity benefits and optimizing the business portfolio. Given the differing dynamics of the platforms, we are evaluating strategic alternatives for Power Solutions,” said George Oliver, chairman and CEO. “Over the years our team has built Power Solutions into an incredible business with a high-margin aftermarket model that has delivered consistent growth through business cycles. These strong fundamentals, as well as recently issued provisions of U.S. tax reform, will be taken into account as we review the alternatives and assess which option creates the best long-term results for the business and the most value for shareholders.

“Today’s announcement also reflects our strategic priority to strengthen and invest in our global market-leading positions in HVAC, fire and security solutions and integrated building management systems, which operate in attractive vertical markets with strong growth prospects,” Oliver added.

Johnson Controls Power Solutions works in partnership with its customers to meet increasing electrification requirements in vehicles. The company’s 15,000 Power Solutions employees create, manufacture, and distribute battery technologies for virtually every type of vehicle. These technologies deliver sustainable, next-generation performance.

In fiscal 2017, Power Solutions generated $7.3 billion in revenue and $1.6 billion in earnings before interest, taxes, depreciation and amortization (EBITDA).

Johnson Controls expects to complete its assessment of strategic alternatives over the next several months. To assist the company in its review, Johnson Controls has retained Centerview Partners as financial advisers.

You May Also Like

Dana Participating in Easter Jeep Safari

The event will take place in Moab, Utah, March 23-31.

Dana to Participate in Easter Jeep Safari 2024

Dana Incorporated will participate in Easter Jeep Safari 2024, held March 23-31 in Moab, Utah. Dana products will be on site and available for demonstrations.

“At Dana, we are committed to rigorously testing and validating our products in the most challenging conditions to guarantee superior quality, durability, and performance,” said Bill Nunnery, senior director, sales and marketing, global aftermarket for Dana. “Easter Jeep Safari features rugged trails that offer us an ideal terrain for product trials. The event also gives us the opportunity to engage with Jeep enthusiasts and understand how we can enhance their off-road experiences through vehicle customizations.”

Advance Auto Parts Reports Q4, Full Year 2023 Results

President and CEO Shane O’Kelly said Advance continues to act with a sense of urgency to “return to profitable growth.”

financial results
AutoZone Reports Q2 Results with Increases in Same Store Sales

During the quarter, AutoZone opened 19 new stores in the U.S., while adding six new stores in Mexico and four in Brazil.

Dana Inc. Reports 2023 Record Sales and Q4 Earnings

For the full-year 2023, Dana reported sales of $10.6 billion, up from $10.2 billion in 2022.

Financial-results
LKQ Corp. Announces Q4, Full Year 2023 Results

President and CEO Dominick Zarcone expressed satisfaction with the company’s results amid macroeconomic challenges.

Other Posts

ZF Aftermarket Releases 80 New Parts

The latest additions expand coverage to more than 5 million vehicles in operation.

ZF Aftermarket Releases 80 New Parts
Schaeffler Highlights ESG Progress in 2023 Sustainability Report

Schaeffler is currently focusing on seven key ESG goals in the implementation of its sustainability strategy.

Schaeffler 2023 Sustainability Report
CMA, DoubleCoin to Showcase Long-Haul Steer Tires at MATS

Company reps will be on-site to answer questions, schedule meetings and coordinate a raffle of outdoor sporting equipment in booth #11140.

tire-distribution-outlook-tire-rack
GB Reman to Host Jackpot Giveaway Winner at Long Beach Grand Prix

Jon Hetzel, owner of Hesski ServiCenter in Levittown, Pennsylvania, will join GB Reman in the company’s hometown next month

GB Reman to Host Jackpot Giveaway Winner at Grand Prix of Long Beach