Johnson Controls to Acquire Gordon Brothers Industries, Accelerate Growth in Industrial Refrigeration Segment in Australia
- Acquisition will strengthen Johnson Controls’ Industrial Refrigeration offerings and increase capability to deliver large sustainability projects in Australia
- Will enhance service offerings by combining Gordon Brothers' engineering expertise and Johnson Controls’ connected service technology
Melbourne, Australia – May 24, 2023 – Johnson Controls (NYSE: JCI), the global leader for smart, healthy, and sustainable buildings, today announced it has entered into a definitive agreement to acquire Gordon Brothers Industries (GBI), Australia’s largest industrial refrigeration (IR) solutions provider of refrigeration system design, construction, services and parts. The addition of GBI will further strengthen Johnson Controls’ growth in the region and beyond.
Through this acquisition, customers will benefit from an expanded product and services mix with more offerings and coverage for local services and installations, including a range of energy-efficient products using low and ultra-low global warming potential (GWP) refrigerants. GBI’s team will be trained to design and engineer, select, and price Johnson Controls equipment for its IR and heating, ventilation, and air conditioning (HVAC) systems. Its technology team will also undergo specialised training in installation, commission, and service of Johnson Controls’ products.
“This acquisition is a major step forward for Gordon Brothers and our customers. Joining forces adds to the business’ competitive advantage by tapping on Johnson Controls’ connected service capability to GBI’s overall portfolio. This will allow us to offer an even wider range of high-quality products and services and provide customers the support they need to achieve their business and sustainability goals,” said Keith McLean, managing director, Gordon Brothers Industries.
With more than 100 years of history, GBI has developed IR solutions for a wide range of industries including convenience foods, dairy, distribution centres, gas and chemical, beverage, brewery, cold storage, confectionery, meat processing, mine cooling, pharmaceutical, and seafood. It also specialises in low-charge ammonia refrigerant systems, incorporating both low and ultra-low GWP refrigerants in projects to provide the most efficient and sustainable solutions for customers.
Johnson Controls has been in Australia since 1965. The acquisition will considerably expand localised assembly capacity in Food & Beverage, Mining, and New Energy markets, adding substantial capability to GBI’s existing offerings. Going forward, the business will be comprised of four new divisions: York Process Systems, Gas Compression, Navy, and Sustainability.
The transaction is subject to customary closing conditions.
Johnson Controls International plc Cautionary Statement Regarding Forward-Looking Statements
Johnson Controls International plc has made statements in this communication regarding the acquisition of Gordon Brothers Industries (GBI) that are forward-looking and therefore are subject to risks and uncertainties. All statements in this document other than statements of historical fact are, or could be, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "should," "forecast," "project" or "plan" and terms of similar meaning are also generally intended to identify forward-looking statements. However, the absence of these words does not mean that a statement is not forward-looking. Johnson Controls cautions that these statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond Johnson Controls' control, that could cause the expected impact of the acquisition of GBI to differ materially from those expressed or implied by such forward-looking statements, include, among others, risks related to the ability to realize the anticipated benefits of the acquisition, including the possibility that expected synergies will not be realized or will not be realized within the expected time frame; delays in the successful integration of GBI and its technologies; unfavorable reaction to the acquisition by customers, competitors, suppliers and employees, disruption from the transaction making it more difficult to maintain business and operational relationships; significant transaction costs; and unknown liabilities.
Other factors that could cause Johnson Controls' actual results to differ materially from those expressed include, among others risks included in the section entitled "Risk Factors" in Johnson Controls' Annual Report on Form 10-K for the 2022 fiscal year filed with the SEC on November 15, 2022, which is available at www.sec.gov and www.johnsoncontrols.com under the "Investors" tab. The description of certain of these risks is supplemented in Item 1A of Part II of Johnson Controls' subsequently filed Quarterly Reports on Form 10-Q. Shareholders, potential investors and others should consider these factors in evaluating the forward-looking statements and should not place undue reliance on such statements. The forward-looking statements included in this communication are made only as of the date of this document, unless otherwise specified, and, except as required by law, Johnson Controls assumes no obligation, and disclaims any obligation, to update such statements to reflect events or circumstances occurring after the date of this communication.
About Johnson Controls:
At Johnson Controls (NYSE:JCI), we transform the environments where people live, work, learn and play. As the global leader in smart, healthy and sustainable buildings, our mission is to reimagine the performance of buildings to serve people, places and the planet.
Building on a proud history of nearly 140 years of innovation, we deliver the blueprint of the future for industries such as healthcare, schools, data centers, airports, stadiums, manufacturing and beyond through OpenBlue, our comprehensive digital offering.
Today, with a global team of 100,000 experts in more than 150 countries, Johnson Controls offers the world’s largest portfolio of building technology and software as well as service solutions from some of the most trusted names in the industry.
Visit www.johnsoncontrols.com for more information and follow @JohnsonControls on social platforms.
Learn more about Gordon Brothers Industries here.
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