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    Johnson Controls reports that the total addressable data center cooling solution market is at $6 to $7 billion.

    Johnson Controls Acquires Silent-Aire

    May 20, 2021
    Silent-Aire specializes in the design, engineering and manufacturing of mission critical custom air handlers and modular data centers for hyperscale cloud and colocation providers.

    CORK, Ireland -- Johnson Controls International plc announced on May 12 that it had completed the acquisition of Silent-Aire.

    Silent-Aire, headquartered in Edmonton, Alberta, specializes in the design, engineering and manufacturing of mission critical custom air handlers and modular data centers for hyperscale cloud and colocation providers. Silent-Aire's portfolio of data center solutions allow for rapid deployment of critical infrastructure in flexible configurations, with a focus on quality, scalability, and speed-to-market.

    "We are thrilled to formally welcome the Silent-Aire family to Johnson Controls, and we are eager to begin driving further innovation and increasing customer value," said George Oliver, chairman and chief executive officer. "This strategic combination broadens our portfolio of sustainable and reliable data center solutions while fostering a well-established entrepreneurial spirit and customer-centric culture that will fuel growth in this end market globally."  

    Key products by Silent-Aire include:
    • direct evaporative cooling units (DECs)
    • computer room air handlers (CRAHUs)
    • modular data centers (MDCs)
    • modular equipment rooms (MERs).

    Silent-Aire estimates its 2021 fiscal year sales at approximately $650 million.

    Johnson Controls reports that the total addressable data center cooling solution market is at $6 to $7 billion. The modular data center market stats at about $3 billion. Leading "hyperscalers" are Microsoft, Google, Amazon, Facebook and Apple.

    Silent-Aire will be reported within the Global Products segment. Revenue for fiscal year 2021 (May) is expected to approximate $650 million. The transaction is expected to be slightly accretive to Johnson Controls adjusted EPS from continuing operations in fiscal 2021, and $0.07 to $0.09 accretive in fiscal 2022.     

    A slide presentation with additional details regarding the transaction was made available at the time the agreement to acquire Silent-Aire was announced, and can be found on the "Events & Presentations" section of the company's website: https://investors.johnsoncontrols.com/~/media/Files/J/Johnson-Controls-IR/reports-and-presentations/2021/investor-update-silent-aire-acquisition.pdf