USA: Lennox has said that the sale of its Heatcraft business in Australia and Asia is part of a streamlining of its refrigeration business which will also include the sale of its South American operations to an unnamed purchaser.
Earlier today, Beijer Ref announced it was set to acquire Heatcraft Australia Pty, one of the largest refrigeration wholesalers in the region, along with its operations in China and Singapore.
Lennox says it intends to focus on its strong market position in North America and Europe.
Lennox International confirms it is in the process of selling real estate in the Sydney area formerly related to its business operations there and reveals that it is “far along in the process” of selling its South America operations.
In total, the businesses being divested contributed $187m in revenue and $6.4m in profit to the company’s refrigeration segment in 2017. Lennox says it expects to raise approximately $110m from the sales.
“Divesting the Australia, Asia, and South America refrigeration businesses will enable us to focus even more on North America and Europe, where we have significant opportunities and strong market positions,” said Lennox International chairman and CEO Todd Bluedorn.