ZEELAND, Mich. Gentex Corp., the Zeeland, Mich.-based manufacturer of automatic-dimming rearview mirrors and camera-based lighting and driver-assist systems for the automotive industry, has signed a definitive agreement to acquire Johnson Controls’ HomeLink business.
HomeLink, a vehicle-based control system that enables drivers to remotely activate garage door openers, entry door locks, home lighting, security systems, entry gates and other radio frequency convenience products, has been integrated into Gentex’ automatic-dimming rearview mirrors for more than 10 years. It is compatible with a wide variety of home safety and convenience products, and is currently offered in all automotive brands. HomeLink is compatible with more than 99 percent of garage door opening systems, and is sold in North America, Europe, Africa, Asia/Pacific and the Middle East.
"HomeLink is a strategic and welcome addition to our portfolio of automotive products," said Gentex Chairman and CEO Fred Bauer. "Our two businesses share similar cultures and traits, both being people-oriented, innovative, leading and technologically-driven."
Under the terms of the agreement, Gentex will acquire all of Johnson Controls’ HomeLink assets, intellectual property, testing facilities and the employees who manage and support the business, for a purchase price of $700 million.
"During the integration, which is expected to occur over the next 12 to 18 months, our customers will continue to receive the same great quality that they have grown accustomed to from Gentex and Johnson Controls," continued Bauer.
Once fully integrated, the company expects that its annual revenue will increase in the range of $125 million to $150 million per year.
The transaction is subject to customary closing conditions, including certain regulatory approval, and is targeted to close on or about Sept. 30.