Gentex buys Homelink from Johnson Controls for $700M
The deal includes all of Johnson Controls' HomeLink assets, intellectual property, testing facilities and employees
ZEELAND, Mich.—Automotive technology company Gentex Corp. has agreed to acquire Johnson Controls’ HomeLink business for US$700 million.
Gentex will acquire all of Johnson Controls’ HomeLink assets, intellectual property, testing facilities, and the employees who manage and support the business in the deal, which is slated to close September 30, 2013.
The Zeeland, Mich.-based manufacturer of automatic-dimming rearview mirrors and camera-based lighting and driver-assist systems for the automotive industry, commercial fire protection products and dimmable aircraft windows, has integrated Homelink technology into its automatic-dimming rearview mirrors for more than 10 years.
“HomeLink is a strategic and welcome addition to our portfolio of automotive products,” said Gentex Chairman of the Board and Chief Executive Officer Fred Bauer. “Our two businesses share similar cultures and traits, both being people-oriented, innovative, leading and technologically-driven.”
HomeLink is compatible with a wide variety of home safety and convenience products, and is currently offered in all automotive brands. HomeLink is compatible with more than 99 per cent of garage door opening systems, and is sold in North America, Europe, Africa, Asia/Pacific and the Middle East.
Once fully integrated, Gentex expects an annual revenue increase of up to $150 million per year and a profit margin increase of up to 1.5 per cent on a consolidated basis, with no change in operating costs.