MILWAUKEE, Wis. and TOKYO — Johnson Controls and Hitachi Appliances, Inc. have completed their global joint venture agreement and will immediately commence operations of Johnson Controls-Hitachi Air Conditioning to provide global customers with a full range of world-class air conditioning products and technology.
Through the agreement, Johnson Controls has acquired a 60 percent ownership stake of the new entity, which has approximately $2.8 billion in annual sales. Hitachi Appliances retains ownership of the remaining 40 percent of the company.
The JV has approximately 14,000 employees and 24 global locations dedicated to design, engineering and manufacturing throughout Asia, Europe and Latin America. It will build on both organizations’ technology, research and development leadership, as well as expanding marketing channels.
Customers globally will now have the most diverse range of air conditioning products in the industry, including Hitachi’s world-class variable refrigerant flow systems, residential air conditioning solutions, high-efficiency chillers and leading-edge rotary and scroll compressors – in addition to Johnson Controls’ industry leading HVAC and building automation solutions.
The JV’s management team will be led by Franz Cerwinka, CEO, and Shinichi Iizuka, chief operating officer and president. Cerwinka has 20 years of experience with Johnson Controls, including four years in Japan as vice president of finance with the company’s automotive business and work with more than ten JVs. Iizuka has been with Hitachi for over 35 years, having spent eight years in India as the president of Hitachi Home & Life Solutions India Ltd. He has led Hitachi’s air conditioning business since 2013.