United Technologies to Acquire Majority Stake in Italian Heating Company Riello Group
United Technologies Holdings Italy S.r.l. has signed an agreement to acquire approximately 70 percent of the Italian company Riello Group, a leader in providing products and services for the heating segment that operates in over 60 countries. Following the closing of the transaction, the Riello family will continue to own the balance of the shares of the company and Riello Group will become part of UTC Climate, Controls & Security, a leading provider of heating, ventilating, air conditioning and refrigeration systems, and a unit of United Technologies Corp. (NYSE:UTX).
“We believe Riello Group, with its strong brands and product offering, provides an excellent platform for UTC Climate, Controls & Security to expand its presence in the heating segment in Europe,” said Ross Shuster, President, International Operations, UTC Climate, Controls & Security. “Through various brands, we are already a leading heating solutions provider in North America. By leveraging Riello Group’s engineering know-how, industrial capabilities and skilled workforce, we see strong potential to grow our presence in this segment globally and to expand synergies with our existing operations.”
“This is a historical milestone for Riello Group, reflecting our intention to continue to serve our customers while strengthening our value proposition. We expect to develop our brands in the wider global heating segment through our heating technologies expertise in residential, commercial and industrial applications, combined with the UTC Climate, Controls & Security distribution network,” said Ettore Riello, President, Riello Group. With over 90 years of experience and innovation, Riello Group is a heating segment leader through its seven brands: Riello, Beretta, Thermital, Sylber, Vokera, Fontecal and FIT Service.
The transaction is expected to close in early 2016, subject to customary closing conditions including regulatory approvals and required notifications to employee representatives. The terms of the agreement will not be disclosed. For more information, visit www.CCS.UTC.com or follow UTC Climate, Controls & Security on Twitter @UTC_CCS.
This release includes "forward looking statements" concerning the proposed transaction, its impact, management’s beliefs and objectives with respect thereto, and management’s current expectations for our future operating and financial performance, based on assumptions currently believed to be valid. Forward-looking statements can be identified by the use of words such as “potential,” “believe,” “expect,” “expectations,” “plans,” “strategy,” “anticipate,” “will,” “should,” “see,” and other words of similar meaning in connection with a discussion of future operating or financial performance.
These forward looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those anticipated, including but not limited to the ability of the parties to satisfy the conditions precedent and consummate the proposed transaction, the timing of consummation, the ability of the parties to secure regulatory approvals in a timely manner or on the terms desired or anticipated, the ability to implement the anticipated business plans following closing and achieve anticipated benefits, and the ability to realize opportunities for growth and innovation. Other important economic, political, regulatory, legal, technological, competitive and other uncertainties are identified in SEC filings submitted by UTC from time to time, including its Quarterly Reports on Form 10-Q, Annual Reports on Form 10-K, and Current Reports on Form 8-K. The forward looking statements included in this press release are made only as of the date hereof. UTC undertakes no obligation to update the forward looking statements to reflect subsequent events or circumstances.
About UTC Climate, Controls & Security
UTC Climate, Controls & Security is a leading provider of heating, ventilating, air conditioning and refrigeration systems, building controls and automation, and fire and security systems leading to safer, smarter, sustainable and high-performance buildings. UTC Climate, Controls & Security is a unit of United Technologies Corp., a leading provider to the aerospace and building systems industries worldwide. For more information, visit www.CCS.UTC.com or follow @UTC_CCS on Twitter.