New York, NY (March 5, 2007) -- KPS Capital Partners, LP ("KPS") announced today that a newly formed affiliate, Bristol Compressors International, Inc. (“Bristol” or the “Company”), has acquired the assets of Bristol Compressors, Inc. from Johnson Controls, Inc. (NYSE: JCI). Financial terms of the transaction were not disclosed.
Bristol is a leading global manufacturer and designer of compression technology used in residential and commercial air conditioning and heat pump applications. The Company supplies many of the world’s leading HVAC manufacturers as well as wholesale distributors. The Company is based in Bristol, Virginia and its products are marketed and sold on six continents and more than fifty countries around the world.
Bristol’s senior management team will implement a business plan developed in partnership with KPS focused on improving manufacturing operations, productivity and supply chain management. The KPS investment will also provide the Company with access to substantial capital to continue new product development.
David Shapiro, a Managing Partner of KPS, said "We are excited to be the catalyst that transforms Bristol into a thriving competitor in the rapidly changing HVAC industry. Bristol successfully developed market-leading products in its Benchmark line that will enable the Company to prosper as the North American HVAC industry undergoes significant regulatory and technological changes. The Company’s established franchise, highly regarded brands and commitment to customer service form a terrific base from which to grow the business both domestically and internationally.”
Rick Izor, Chief Executive Officer of Bristol, commented, “This transaction marks the beginning of a new era for Bristol, with a new owner that has a track record of elevating good companies to achieve world-class operating performance. KPS’s manufacturing expertise and capital resources will advance Bristol’s position as a leading manufacturer and distributor of compressors. I would like to thank our customers, vendors and employees for their continued support.”
Edwards Angell Palmer & Dodge LLP served as legal counsel to KPS with respect to the transaction. William Blair & Company served as financial advisor to Johnson Controls.
About KPS Capital Partners
KPS, through its affiliated management entities, is the manager of the KPS Special Situations Funds, a family of investment funds with approximately $21.4 billion of assets under management (as of December 31, 2023). For over three decades, the Partners of KPS have worked exclusively to realize significant capital appreciation by making controlling equity investments in manufacturing and industrial companies across a diverse array of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing. KPS creates value for its investors by working constructively with talented management teams to make businesses better, and generates investment returns by structurally improving the strategic position, competitiveness and profitability of its portfolio companies, rather than primarily relying on financial leverage. The KPS Funds’ portfolio companies generate aggregate annual revenues of approximately $20.3 billion, operate 222 manufacturing facilities in 26 countries, and have approximately 48,000 employees, directly and through joint ventures worldwide (as of December 31, 2023). The KPS investment strategy and portfolio companies are described in detail at www.kpsfund.com.
