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IR and Mitsubishi in US joint venture

IRELAND/JAPAN: Mitsubishi Electric has formed a 50/50 joint venture with Ingersoll-Rand for the marketing, sales and distribution of ductless and VRF air conditioning systems in the US and parts of Latin America.

The systems sold by the joint venture will include variable speed mini-split, multi-split, and VRF air conditioners and heat pumps for homes, light commercial and commercial applications.

The joint venture will distribute products with the Trane or American Standard brand and the Mitsubishi Electric corporate logo to Ingersoll Rand channels. The JV will also continue to serve Mitsubishi Electric US distributors and representatives with Mitsubishi Electric branded product.

Pending favourable global antitrust reviews and customary closing conditions, the new joint venture is expected to be operational in the first half of this year.

The business will operate from headquarters in Suwanee, Georgia, under a yet to be named CEO from Mitsubishi Electric and a chief financial officer from Ingersoll Rand. Ingersoll Rand and Mitsubishi Electric US Inc, a subsidiary of Mitsubishi Electric Corporation, will have equal ownership.

“Together, our robust offering and ability to serve customers in the multi-billion dollar and growing ductless segment will be superior,” claimed Ingersoll Rand executive vice president David Regnery.

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