Cork-based Johnson Controls sells air management unit to billionaire

CORK-BASED conglomerate Johnson Controls International has sold UK and Ireland-focused Ruskin Air Management (RAML) to Swedishbased company Swegon.

The deal comes a year after the controversial $16.5 bn merger of Johnson Controls with Tyco in a so-called inversion, which saw the US-based Johnson establish its domicile in Ireland by buying Tyco.

The sale is an indication of the integration of the two businesses.

RAML — which manufactures fire and smoke control products as well as ventilation products — produced revenues of Stg£22m last year and market multiples for the sector would suggest a sale price in excess of £25m.

XMS Capital Partners was financial advisor to Johnson Controls on the deal.

Earlier this year XMS advised Wisconsin-based packaging company Bemis on the acquisition of Offaly-based Steripack.

Swegon is part of Investment AB Latour — an investment company nearly 80pc owned by the Swedish billionaire Gustaf Douglas and his family. Forbes magazine estimated Douglas’ worth to be $5.7bn as of July this year.

“This acquisition gives us a very strong local presence and identity in UK through the well-known RAML brands,” said Swegon chief executive Hannu Saastamoinen. “In addition, with RAML, we add a new competence area in Swegon in form of their extensive fire and smoke product knowledge. RAML products are complementary for us and we see good potential for cross sales in the future.”