Daikin Industries Ltd. has announced plans to buy Goodman Global Inc. for $3.7 billion to expand its home heating and cooling business in North America.
The deal gives Daikin more than 900 distribution points as it tries to boost sales in North America.
The transaction will be completed by December 31, pending regulatory approval, the companies said in a statement.
The deal is an opportunity for Daikin to increase its business “where we have little presence,” Noriyuki Inoue, chief executive officer of Daikin, said at a press conference in Osaka.
Daikin plans to invest further in Houston-based Goodman, which will continue to be managed as an independent business and keep its current management.
Goodman has more than 4,500 employees, mostly in Texas and Tennessee, and generated $2.1 billion in sales last year.
“This is an opportunity for Goodman to grow globally as well as in the North American market by leveraging Daikin Group’s technical expertise, environmental technologies, and North American commercial expertise,” David Swift, chief executive officer of Goodman said.
Daikin employs more than 44,000 people globally, with manufacturing and sales in more than 90 countries. The company was founded in 1924.
Daikan stand at ARBS
