Johnson Controls is planning to acquire 25.74% stake in Hitachi Home & Life Solutions (India) through an open offer. Johnson Controls would acquire little over 70,00,990 shares at an offer price of Rs 821.38 per share amounting to Rs 575.04 crore.
Last week, Johnson Controls and Hitachi Appliances had entered into a definitive agreement to form a global joint venture (JV) for heating, air conditioning, ventilation and refrigeration (HVAC).
Post completion of the open offer, the JV company, either directly or through one or more subsidiaries, will hold 74.25% of the target company. As per the agreement, Johnson Controls will obtain a 60% ownership in Hitachi Appliances. The deal excludes sales and service operations in Japan.
Hitachi Home and Life Solutions (India), popularly known as Hitachi, is engaged in manufacturing a range of electronic home solutions.
