MOTORS & ARMATURES TO SELL PARTS DIVISION TO CSW INDUSTRIALS FOR $650 MILLION
Motors & Armatures (MARS), a Platinum Equity portfolio company, has agreed to sell its parts division to CSW Industrials (NYSE: CSW) for $650 million in cash, plus a potential $20 million earn-out. The transaction, expected to close by end of 2025, excludes MARS' equipment distribution division, which will continue operating as Heat Controller under Platinum Equity.
Since Platinum Equity's acquisition in July 2024, MARS has undergone significant transformation, including the strategic acquisition of Global, the Source, expansion into new product categories, and cost optimization initiatives. The parts division specializes in HVAC/R components, while Heat Controller will continue offering residential and commercial heating and cooling equipment under the Comfort-Aire and Century brands.
CEO Philip Windham will continue leading Heat Controller post-transaction, with Platinum Equity planning continued expansion through organic growth and M&A.
Motors & Armatures (MARS), una società del portafoglio di Platinum Equity, ha accettato di vendere la sua divisione parts a CSW Industrials (NYSE: CSW) per 650 milioni di dollari in contanti, più un potenziale earn-out di fino a 20 milioni.
L’operazione, che dovrebbe chiudersi entro la fine del 2025, esclude la divisione distribuzione apparecchiature di MARS, che continuerà a operare come Heat Controller sotto Platinum Equity.
Da quando Platinum Equity ha acquisito l’azienda nel luglio 2024, MARS ha subito una significativa trasformazione, tra cui l’acquisizione strategica di Global, the Source, l’espansione in nuove categorie di prodotto e iniziative di ottimizzazione dei costi. La divisione parts è specializzata in componenti HVAC/R, mentre Heat Controller continuerà ad offrire apparecchiature per riscaldamento e raffreddamento residenziale e commerciale sotto i marchi Comfort-Aire e Century.
Il CEO Philip Windham continuerà a guidare Heat Controller dopo la transazione, con Platinum Equity che prevede una continua espansione tramite crescita organica e operazioni di M&A.
Motors & Armatures (MARS), una empresa del portafolio de Platinum Equity, ha aceptado vender su división de repuestos a CSW Industrials (NYSE: CSW) por 650 millones de dólares en efectivo, más un posible earn-out de hasta 20 millones.
La operación, que se espera cierre para finales de 2025, excluye la división de distribución de equipos de MARS, que continuará operando como Heat Controller bajo Platinum Equity.
Desde la adquisición por Platinum Equity en julio de 2024, MARS ha experimentado una transformación significativa, incluyendo la adquisición estratégica de Global, the Source, la expansión a nuevas categorías de productos y iniciativas de optimización de costos. La división de repuestos se especializa en componentes HVAC/R, mientras que Heat Controller seguirá ofreciendo equipos de calefacción y refrigeración residenciales y comerciales bajo las marcas Comfort-Aire y Century.
El CEO Philip Windham continuará dirigiendo Heat Controller tras la transacción, con Platinum Equity planeando una expansión continua mediante crecimiento orgánico y fusiones y adquisiciones.
Motors & Armatures (MARS)는 Platinum Equity 포트폴리오 기업으로서 부품 부문을 CSW Industrials (NYSE: CSW)에 현금 6억 5천만 달러와 최대 2천만 달러의 성과지급 조건(earn-out)으로 매각하기로 합의했습니다.
거래는 2025년 말까지 마무리될 예정이며, MARS의 설비 유통 부문은 제외되어 Heat Controller로 Platinum Equity의 소유로 계속 운영됩니다.
2024년 7월 Platinum Equity의 인수 이후 MARS는 Global, the Source의 전략적 인수, 새로운 제품 카테고리로의 확장, 비용 최적화 이니셔티브 등 중요한 변화를 겪었습니다. 부품 부문은 HVAC/R 부품을 전문으로 하며, Heat Controller는 Comfort-Aire 및 Century 브랜드 아래 주거용 및 상업용 난방·냉방 장비를 계속 제공합니다.
거래 후에도 Heat Controller의 CEO인 Philip Windham이 계속 이끌 것이며, Platinum Equity는 유기적 성장과 인수합병(M&A)을 통해 지속적인 확장을 계획하고 있습니다.
Motors & Armatures (MARS), une société du portefeuille de Platinum Equity, a accepté de vendre sa division pièces à CSW Industrials (NYSE: CSW) pour 650 millions de dollars en espèces, plus une éventuelle earn-out pouvant aller jusqu’à 20 millions.
L’opération, qui devrait être close d’ici la fin de 2025, exclut la division distribution d’équipements de MARS, qui continuera d’opérer sous le nom de Heat Controller au sein de Platinum Equity.
Depuis l’acquisition par Platinum Equity en juillet 2024, MARS a connu une transformation importante, comprenant l’acquisition stratégique de Global, the Source, l’expansion vers de nouvelles catégories de produits et des initiatives d’optimisation des coûts. La division pièces se spécialise dans les composants HVAC/R, tandis que Heat Controller continuera à proposer des équipements de chauffage et de climatisation résidentiels et commerciaux sous les marques Comfort-Aire et Century.
Le PDG Philip Windham continuera à diriger Heat Controller après la transaction, Platinum Equity prévoyant une expansion continue par croissance organique et par des opérations de M&A.
Motors & Armatures (MARS), ein Portfolio-Unternehmen von Platinum Equity, hat zugestimmt, seine Teile-Division an CSW Industrials (NYSE: CSW) für 650 Millionen US-Dollar in bar sowie eine potenzielle Earn-out von bis zu 20 Millionen zu verkaufen.
Die Transaktion, deren Abschluss bis Ende 2025 erwartet wird, schließt die Equipment-Distribution-Division von MARS aus, die weiterhin unter dem Namen Heat Controller im Auftrag von Platinum Equity operieren wird.
Seit der Übernahme durch Platinum Equity im Juli 2024 hat MARS eine signifikante Transformation durchlaufen, einschließlich der strategischen Akquisition von Global, the Source, der Erweiterung in neue Produktkategorien und Kostenoptimierungsinitiativen. Die Teile-Division spezialisiert sich auf HVAC/R-Komponenten, während Heat Controller weiterhin Wohn- und Geschäftsheiz- und Kühlausrüstung unter den Marken Comfort-Aire und Century anbietet.
CEO Philip Windham wird nach der Transaktion weiterhin Heat Controller führen, und Platinum Equity plant ein weiteres Wachstum durch organische Expansion und M&A.
Motors & Armatures (MARS)، وهي شركة ضمن محفظة Platinum Equity، وافقت على بيع قسم قطع الغيار إلى CSW Industrials (NYSE: CSW) مقابل 650 مليون دولار نقداً، إضافة إلى احتمال تحقيق أرباح إضافية تصل إلى 20 مليون دولار.
الصفقة، المتوقع إغلاقها بحلول نهاية عام 2025، تستبعد قسم توزيع المعدات لدى MARS، الذي سيستمر العمل تحت اسم Heat Controller ضمن Platinum Equity.
منذ استحواذ Platinum Equity في يوليو 2024، شهدت MARS تحولاً كبيراً شمل الاستحواذ الاستراتيجي على Global وthe Source، والتوسع في فئات منتجات جديدة، ومبادرات تحسين التكاليف. يختص قسم القطع بمكونات HVAC/R، في حين سيواصل Heat Controller تقديم معدات التدفئة والتبريد السكنية والتجارية تحت علامتي Comfort-Aire وCentury.
سيواصل الرئيس التنفيذي فيليب وينجهام قيادة Heat Controller بعد الصفقة، وتخطط Platinum Equity لاستمرار التوسع من خلال النمو العضوي وعمليات الدمج والاستحواذ.
Motors & Armatures (MARS)，Platinum Equity 的投资组合公司，已同意将其零部件事业部以 6.5亿美元现金出售给 CSW Industrials (NYSE: CSW)，外加潜在的 2000万美元业绩奖金。
此次交易预计在 2025 年底前完成，交易不包括 MARS 的设备分销部，该部分将继续以 Heat Controller 名义在 Platinum Equity 旗下运作。
自 2024 年 7 月 Platinum Equity 收购以来，MARS 发生了重大转型，包括战略收购 Global、the Source，向新产品类别扩张，以及成本优化举措。零件事业部专注于 HVAC/R 组件，而 Heat Controller 将继续以 Comfort-Aire 和 Century 品牌提供住宅与商业用的取暖和制冷设备。
交易完成后，CEO Philip Windham 将继续领导 Heat Controller，Platinum Equity 计划通过有机增长和并购实现持续扩张。
- Sale price of $650 million cash plus potential $20 million earn-out
- Successful operational transformation under Platinum Equity ownership since 2024
- Strategic acquisition of Global, the Source adding US-based manufacturing capabilities
- Significant cost savings achieved across procurement, freight, and damage reduction
- Expansion into new product categories enhancing business portfolio
- Transaction subject to regulatory approval and closing conditions
- Separation of business units could create operational challenges
Insights
CSW's $650M acquisition of MARS Parts significantly expands its HVAC/R components business with manufacturing capabilities and diversified product lines.
CSW Industrials is making a significant strategic move by acquiring the MARS Parts division for
The transaction represents a substantial expansion for CSW in the HVAC/R sector. What makes this acquisition particularly valuable is that MARS Parts underwent significant operational transformation under Platinum Equity's 15-month ownership, including:
- Integration of US-based manufacturing through the Global, the Source acquisition
- Expansion into complementary product categories (pads, chemicals, equipment hangers)
- Implementation of cost-reduction initiatives across procurement, freight, and operations
- Installation of experienced leadership from a major HVAC OEM
These operational improvements likely enhanced the division's profitability and strategic value before the sale. The
This acquisition follows the industry trend of consolidation in the fragmented HVAC distribution space, allowing CSW to enhance its market position in replacement parts and components. The addition of in-house manufacturing capabilities is particularly notable as it provides vertical integration opportunities and potential margin improvements in CSW's supply chain.
Transaction follows significant operational transformation of MARS under Platinum Equity ownership
MARS to continue investing in growth of equipment business
The transaction is expected to close before the end of calendar year 2025, subject to regulatory approval and other conditions.
Headquartered in
The sale does not include the MARS equipment distribution division, which will remain a standalone business in Platinum Equity's portfolio and continue to operate under the name Heat Controller. Heat Controller offers residential and commercial heating, cooling, and dehumidification equipment under the Comfort-Aire and Century brands.
Since investing in MARS in July 2024, Platinum Equity has led a comprehensive transformation of the company, including:
- Completing the strategic acquisition of Global, the Source, bringing US-based in-house manufacturing capabilities to MARS and enhancing the combined company's financial profile
- Expanding into new product categories such as pads, pans, equipment hangers, float switches, chemicals, and other accessories
- Driving significant cost savings across procurement, freight, and damage reduction
- Recruiting a world-class management team from a leading HVAC OEM, led by Philip Windham as CEO
"We're proud of the progress we've made and grateful to the talented team in our parts division," said
MARS anticipates a smooth transition, as MARS Parts and Heat Controller have operated largely independently.
"Over the past year and a half, we've partnered with the MARS team to transform the business and create significant value," said Platinum Equity Co-President Jacob Kotzubei. "This transaction allows us to realize part of that value while finding a natural home for the parts division at CSW where it can continue to thrive. We remain bullish on the HVAC sector long term and will continue putting our financial and operational resources to work."
Platinum Equity said it will actively support Heat Controller's ongoing expansion.
"We have an outstanding leadership team that is eager to scale and create additional value," said Platinum Equity Managing Director Dan Krasner. "We will continue to diversify and expand Heat Controller's product portfolio and extend the company's reach to new customers, both organically and through strategic M&A."
About Platinum Equity
Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with approximately
Contact:
Dan Whelan
Platinum Equity
dwhelan@platinumequity.com
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SOURCE Platinum Equity
FAQ
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