The merger between Johnson Controls and Tyco is “moving full steam ahead,” the CEO of Wisconsin’s largest public company said on an earnings call today.
The deal faced some questions after the U.S. Treasury Department announced new rules aimed at halting so-called tax inversion deals, though observers said the rules wouldn’t affect this deal much.
Glendale-based Johnson Controls is looking to combine its building efficiency services with Ireland-based Tyco International, which offers leading fire safety solutions. The deal is expected to close this fall, and though the combined company would be headquartered in Ireland for tax purposes, its operational headquarters would remain in the Milwaukee area.
“We’re on a clear path to capture the value of this unique combination,” said Johnson Controls CEO Alex Molinaroli.
In an SEC filing this morning, the companies confirmed they’ll “proceed with their merger plans and that the combined company expects to deliver $650 million” in savings over three years.
— By Polo Rocha,