HANOVER, Germany (Aug. 13, 2012)—ContiTech A.G.'s Fluid Technology business unit plans to buy the automotive air conditioning portion of Parker Hannifin Corp.'s Mobile Climate Systems Division to boost its presence in the U.S. and Asian markets.
Terming it one of the largest acquisitions in ContiTech history, the company said the relative agreements have been signed by the two firms but the transaction is still subject to regulatory approvals. Terms of the agreement were not disclosed.
Parker Hannifin is selling the business because the unit's long-term prospects will be better served by ContiTech, which has a strong base in the automotive end of the market, while Parker Hannifin is more focused on the non-automotive end, a company official said.
ContiTech CEO Heinz-Gerhard Wente said the purchase fits with the firm's growth strategy and opens the door to new growth for the company.