Bosch Strengthens HVAC Market Position with Major Johnson Controls Acquisition

Acquisition Overview

Stuttgart – The Bosch Group is taking a significant step in its 2030 strategy by actively pursuing growth, successfully completing the largest acquisition in its history. The acquisition of Johnson Controls' residential and small commercial heating, ventilation, and air conditioning (HVAC) activities, along with the Johnson Controls-Hitachi Air Conditioning joint venture, was finalized as planned on July 31. The contracts were signed approximately one year ago.

This strategic move aims to accelerate Bosch's growth, expand its global presence, and balance its business by reinforcing technologies in the energy and building sectors, thereby making Bosch stronger and more robust, aligning with its 2030 strategy.

Key Outcomes and Strategic Impact

The Home Comfort division has nearly doubled in size, now exceeding eight billion euros in revenue and employing over 25,000 people. This expansion is driven by the increasing demand for air conditioning solutions.

Stefan Hartung, Chairman of the Board of Management of Bosch, stated, "Bosch is moving into the Champions League in the heating, ventilation, and air conditioning solutions sector."

Christian Fischer, Member of the Board of Management and responsible for strategic growth initiatives and portfolio management, added, "This acquisition perfectly complements our portfolio. We can now offer our customers the full range of HVAC technologies from a single source worldwide."

Frank Meyer, Head of Technologies for Energy and Buildings and now Head of Bosch's Home Comfort division, commented, "We want to help shape this market with energy-efficient solutions."

The acquisition includes significant strategic corporate investments and participations in joint ventures with component manufacturers and commercial partners, expected to contribute substantially to Home Comfort's future financial results.

Market Growth and Outlook

Bosch anticipates the Home Comfort division to grow significantly faster than the global HVAC market, which is projected to expand by up to 5% annually until 2030. The global HVAC market was valued at over 150 billion euros in 2024, with air conditioning systems accounting for two-thirds of this figure. Demand is expected to rise due to climate change and other factors, with Bosch forecasting global air conditioner sales to exceed 200 million units annually by 2030.

Frank Meyer highlighted the goal: "We want to help shape this market and use energy-efficient solutions to make people's daily lives more comfortable and healthier, even on increasingly hot days, whether at home, at work, or during their shopping."

The International Energy Agency estimates that a global temperature increase of just one degree Celsius by 2050 could raise global air conditioning demand by 25%.

Regional Focus and Brand Portfolio

The acquisition strengthens Bosch's market position globally. The Home Comfort division will leverage its expanded product and brand portfolio, which now includes York in the United States and Hitachi in Asia, alongside existing brands like Bosch and Buderus. The company has secured long-term licenses to use the York and Hitachi brand names.

Regional preferences vary: the US favors ducted solutions, while Asia sees high demand for ductless solutions and Variable Refrigerant Flow (VRF) systems. The Europe/Middle East/Africa region exhibits diverse needs, with electrification via heat pumps established in Northern/Western Europe and demand for air conditioning and water heaters in the Middle East and Africa.

Jan Brockmann, President of the Home Comfort division, stated, "We have ambitious growth objectives in all regions of the world. We are constantly focusing on this. By strengthening regional responsibility, we can better meet customer needs."

Leadership and Integration

Following the acquisition, the global production network for Home Comfort will expand from 17 to 33 plants, and development sites will increase from 14 to 26. The integration of the acquired units into the Bosch Home Comfort division is expected to be completed by the end of 2027.

Key leadership appointments include Jan Brockmann as President of the new global organization and Regional President for Europe/Middle East/Africa. David Budzinski will join the global management board, responsible for the Americas, with Ulrich Lissmann overseeing the Asia-Pacific region. Oliver Koukal will serve as Transformation Director. Thomas Volz will be Chief Financial Officer, and Birte Luebbert will be Chief Operations Officer.

Impact in France

In France, the acquisition significantly enhances Bosch Group's position in the national HVAC market. This operation integrates 148 employees, primarily based at Hitachi Air Conditioning France in Saint-Priest. Bosch Home Comfort gains access to Hitachi's residential network, comprising 9 independent companies and over 75 sales points, as well as the commercial market through 9 directly managed Hitachi agencies. The newly acquired product portfolio further enriches Bosch Group's offerings in the French market.

About Bosch Group

The Bosch Group is a leading global supplier of technology and services. With approximately 418,000 employees worldwide as of December 31, 2024, Bosch generated sales of 90.3 billion euros in 2024. Its business activities are divided into four business sectors: Mobility Solutions, Industrial Technology, Consumer Goods, and Energy and Building Technology. Through its commercial activities, the company develops technologies that help shape universal trends such as automation, electrification, digitalization, connectivity, and a focus on sustainability. Bosch's strong diversification across regions and industries enhances its innovation and robustness. The Group leverages its expertise in sensor technology, software, and services to offer customers cross-domain, connected solutions from a single source. Bosch also applies its expertise in connectivity and artificial intelligence to develop and manufacture exciting and more sustainable products. The Bosch Group comprises Robert Bosch GmbH and approximately 490 subsidiaries and regional companies in nearly 60 countries. Including its sales and service partners, the international network of production, engineering, and sales covers almost all countries worldwide. Bosch's innovation strength is a key element of its growth, employing nearly 87,000 associates in research and development across 136 sites globally.

The company was founded by Robert Bosch (1861–1942) in 1886 in Stuttgart as "Werkstätte für Feinmechanik und Elektrotechnik" (Workshop for Fine Mechanics and Electrical Engineering). The unique ownership structure of Robert Bosch GmbH guarantees the Group's corporate freedom, enabling long-term planning and significant initial investments for its future. 94% of the share capital of Robert Bosch GmbH is held by the public-benefit Robert Bosch Stiftung GmbH. The remaining shares are held by the Bosch family, a family-owned company, and Robert Bosch GmbH. Voting rights are primarily vested in Robert Bosch Industrietreuhand KG, which acts as the general partner.

Contact Information

Robert Bosch France

Director of Communication and Public Affairs France: Florence Drouault

Tel: +33 1 71 89 88 24

Email: Florence.drouault@fr.bosch.com

Press Contact Bosch

Agency: Taddeo

Contact: Agathe Le Bars

Tel: +33 (0)6 73 12 28 24

Email: agathe.lebars@taddeo.fr