Brookfield merges services businesses with Johnson Controls
(Reuters) - Brookfield Asset Management Inc (BAMa.TO: Quote) said it would merge its real estate, facilities and project management services with the Australian and New Zealand business of auto parts supplier Johnson Controls Inc (JCI.N: Quote) to form a single entity.
The new company, called Brookfield Johnson Controls, will generate revenue of about $250 million and is expected to begin operations from early 2013, the companies said in a statement.
Brookfield Johnson Controls would combine the local operations of Brookfield's multiplex services arm with the Australian and New Zealand business of Johnson Controls's global workplace solutions segment, which provides corporate real estate and energy management services.
"Our reach will appeal to larger companies with operations in Australia and New Zealand looking to grow into international markets," said Jon McCormick, Brookfield Johnson Controls managing director.
The new company would count Agilent Technologies Inc (A.N: Quote), GlaxoSmithKline Plc (GSK.L: Quote) and Cisco Systems (CSCO.O: Quote), among its clients and manage over 3.9 million square meters of property in 9,200 locations around Australian and New Zealand.
This is the second partnership between Brookfield and Johnson Controls, following a Canadian partnership formed in 1992. The Canadian partnership will also fall under Brookfield Johnson Controls, the companies said.
The deal is expected to close before the end of the calendar year.
(Reporting By Vrinda Manocha in Bangalore; Editing by Eric Meijer)
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