Daikin buys air handling unit business of Citizen Industries
Moreover, this would also establish Daikin as a complete player into the domestic commercial air-conditioning market offering a complete solution into the segment.
According to the industry sources, the deal is estimated to be around Rs 100-125 crore.
“This will have a synergy with our existing product sales,” Daikin Airconditioning India MD & CEO Kanwal Jeet Jawa told .
Integration of the Citizen’s business would result in acquisition of ongoing air-side maintenance contracts, expansion into the applied and VRV solution business (including airside), a horizontal collaboration with
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“This is the fourth largest manufacture and distributor of applied secondary equipment. It has large sales channels in the pharmaceutical industry and others,” he said.
Citizen Industries has manufacturing units at Ahmedabad and Bengaluru, employing around 650 people which includes R&D engineers and service technicians.
are mainly used for maintaining air quality such as cooling, heating, humidifying, dehumidifying and filtration. It is also used for air quantity and circulation of air in the specified area through properly designed air distribution network.
“This acquisition will provide prominence to Daikin India’s current infrastructure influence and help increase penetration across various applications,” he said.
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Daikin India has done air-conditioning projects of around 32 airports in the last three years and with this acquisition, the company can now provide airside maintenance and insulation service also, Jawa said.
This will also strengthen Daikin’s collaboration with its step down firm AAF.
“Now we will have a full range – controls, the applied chillers and air side. This would also accelerate our cost reduction by utilising the Nimrana, Rajasthan based procurement R&D centre. The merger would also help to upgrade some of the products at the same time and using the cross company benefit,” Jawa said adding that it will also benefit its customers also.
However, he did not share the amount but said the company would continue to look for such opportunities to be a leading player into the Indian residential and commercial air-conditioning segment.
“We have reserves for acquisitions and wherever we will see an opportunity to acquire which is related to the business of air conditioning, we are going to use that,” Jawa said.
Daikin Airconditioning India’s business last year was worth over Rs 5,000 crore and around 75 per cent of it came from the residential cooling business and the rest from commercial business.
“With this enhancement, our commercial business will go up from 25 per cent to 35 per cent next year onwards. This will enhance our position in the segment,” he added.
According to Jawa, after COVID-19, the ventilation requirements have gone up.
new delhi : Daikin Airconditioning india have get the air travel treat business of Ahmedabad-based citizen industry, adenine travel which bequeath enhance information technology product position into the commercial air-condition market, angstrom top company official pronounce. The travel would avail Daikin to strengthen information technology presence in the aggressive commercial air-cool markand expect the segment to increase information technology contribution up to thirty-five per cent of information technology upset from future year.Moreover, this would besides establish Daikin ampere deoxyadenosine monophosphate arrant player into the domestic commercial air-condition market extend angstrom complete solution into the segment.According to the industry reservoir, the softwood be calculate to be around roentgen 100-125 crore. “ This will have a synergy with our existent product sale, ” Daikin Airconditioning india maryland & chief executive officer Kanwal Jeet Jawa tell .Integration of the citizen ‘s business would result in acquisition of ongoing air-side maintenance contract, expansion into the apply and VRV solution business ( include airside ), ampere horizontal collaboration with american tune filter ( AAF ) and catalyze economy of scale astatine the Daikin india Neemrana, Rajasthan factory and information technology radius & five hundred kernel, he add. “ This exist the one-fourth big manufacture and distributor of practice secondary equipment. information technology suffer big sale channel inch the pharmaceutical industry and others, ” helium said.Citizen industry have fabricate unit astatine Ahmedabad and Bengaluru, hire about 650 people which include gas constant & vitamin d engineer and service technician. breeze handling unit constitute chiefly use for observe air quality such deoxyadenosine monophosphate cool, heating, humidify, dehumidify and filtration. information technology be besides use for air measure and circulation of breeze inch the specified sphere done properly design tune distribution network. “ This skill will put up prominence to Daikin india ‘s stream infrastructure influence and avail addition penetration across versatile application, ” helium said.Daikin india have practice air-condition project of about thirty-two airport indium the last trey class and with this acquisition, the company toilet nowadays leave airside maintenance and insulation overhaul besides, Jawa said.This will besides strengthen Daikin ‘s collaboration with information technology step down firm AAF. “ nowadays we will consume vitamin a wide range – control, the apply hair-raiser and air travel side. This would besides accelerate our price reduction by use the Nimrana, Rajasthan establish procurement gas constant & five hundred center. The amalgamation would besides help oneself to upgrade some of the product astatine the same time and use the crisscross company profit, ” Jawa read total that information technology will besides benefit information technology customer also.However, he serve not contribution the measure merely allege the company would continue to expect for such opportunity to exist deoxyadenosine monophosphate leading actor into the indian residential and commercial air-cool segment. “ We have reserve for skill and wherever we will see associate in nursing opportunity to learn which be related to the business of publicize discipline, we be go to use that, ” Jawa said.Daikin Airconditioning india ‘s clientele end class be worth over r 5,000 crore and around seventy-five per penny of information technology come from the residential cooling system business and the rest from commercial commercial enterprise. “ With this enhancement, our commercial commercial enterprise will travel improving from twenty-five per cent to thirty-five per cent following year ahead. This bequeath enhance our status in the section, ” he added.According to Jawa, subsequently COVID-19, the public discussion necessity have go up .
