Bosch finalizes a billion-dollar purchase in the eco-friendly industry sector - Bosch concludes multibillion-dollar acquisition in the realm of climate technology
Bosch, a renowned German technology and engineering company, has made a significant move in the industry by completing its largest acquisition to date, worth approximately 7.4 billion euros. The acquisition is of the heating, ventilation, and air conditioning (HVAC) business for residential and small commercial buildings from Johnson Controls, a building technology company with American roots and its headquarters in Cork, Ireland.
This strategic move will almost double Bosch's Home Comfort division, adding over 25,000 employees to the company's roster. The new units will be integrated into Bosch's Home Comfort business sector, which is expected to exceed eight billion euros in turnover.
Bosch's growth potential in the HVAC market is strong, driven by strategic acquisitions, market expansion, and technological innovation. The company aims to grow significantly faster than the global HVAC market, which is expected to expand by up to 5% annually until 2030.
The global HVAC market size was approximately $160 billion USD in 2025, and is projected to grow at a compound annual growth rate (CAGR) around 5.8% to 6.95% in the medium term. Key trend drivers supporting Bosch's growth and the HVAC market expansion overall include technology shifts, geographic expansion, demand for sustainability, urbanization and construction, consolidation and portfolio expansion, and the increasing need for smart, efficient heating, ventilation, and cooling systems.
By 2027, the administrative headquarters of the Home Comfort business sector will be in Wetzlar. The acquisition also includes the climate control joint venture of Johnson Controls and the Japanese industrial group Hitachi, increasing the number of development sites from 14 to 26 and the number of plants from 17 to 33.
This move marks a significant step for Bosch in the HVAC market, positioning the company to outpace the global market growth. The company sees great growth potential in this business, particularly in the USA and Asia, where it aims to improve its market position with this acquisition. The addition of brands such as Now York in the USA, Hitachi in Asia, and other local brands will further strengthen Bosch's competitive position.
The acquisition of Johnson Controls' HVAC business is a clear indication of Bosch's commitment to leading the HVAC market with innovative solutions and a comprehensive product range. This move propels Bosch into the Champions League of the heating, ventilation, and air conditioning business.
[1] Bosch Press Release, 2022 [2] Fortune Business Insights, 2021 [3] Spherical Insights, 2020 [4] Bosch Analysis, 2021 [5] MarketWatch, 2022
- Bosch's employment policy is expected to witness substantial growth with the acquisition of Johnson Controls' HVAC business, as the addition of over 25,000 employees will significantly increase the company's workforce.
- In line with its community policy, Bosch aims to lead the global HVAC market with innovative solutions and a comprehensive product range, thereby positioning itself as a champion in the industry, as demonstrated by the acquisition of Johnson Controls' HVAC business.
