<article><a href="https://www.dealstreetasia.com/?s=Symphony+Ltd.">Symphony Ltd</a>, one of the country’s leading air-cooler manufacturers, on Friday announced that it aims to acquire Australia’s Climate Technologies Pty Limited.</article>

<a href="https://www.dealstreetasia.com/?s=Symphony+Ltd.">Symphony Ltd</a>, one of the country’s leading air-cooler manufacturers, on Friday announced that it aims to acquire Australia’s Climate Technologies Pty Limited.
The Ahmedabad-based company has signed an agreement to buy 95% equity stake in Climate Technologies, Australia’s leading manufacturer of cooling and heating appliances, it said.
“The acquisition will be executed at a valuation range of AUD (Australian dollar) 40-44 million (₹201-221 crore) depending on the achievement of FY18 Ebitda (June end),” it said. Ebitda stands for earnings before interest, tax, depreciation and amortization and is a measure of a company’s operating profitability.
The valuation is subject to change based on customary closing conditions, said the firm.
The company plans to finance the acquisition through a judicious mix of debt and internal cash accruals, it said.
Climate Technologies, headquartered in Adelaide, South Australia, manufactures and sells evaporative air coolers, ducted gas heaters and other cooling products in Australia and the US.
The company was established by entrepreneur Ted Celi in December 1976. Celi and his family hold 90% equity stake, while 10% stake is owned by chief executive Tim O’ Leary.
The acquisition is expected to be completed in a month, following which O’ Leary would hold 5% equity in the company, having sold the remaining 5% of his share to Symphony.
With iconic brands such as Bonaire and Celair, Climate Technologies is one of Australia’s most recognized manufacturers and suppliers of cooling and heating appliances. Climate Technologies commands 30% and 25% market share of the domestic Australian evaporative air coolers and ducted gas heaters market, respectively.
It also has a presence in the US markets and has a manufacturing facility in Salisbury, South Australia, with an assembly operation in Las Vegas, Nevada.
The acquisition would help Symphony expand its international footprint and would provide it an opportunity of lowering the business risk because of different weather conditions prevailing in India and Australia.
“This is an exciting opportunity for Symphony as Climate Technologies is a very strong strategic fit. This acquisition will provide Symphony access to new geographies such as Australia and a strong position in the US, which is the largest air cooler market in the world. We are uniquely placed to assist Climate Technologies in its next phase of growth, by providing immediate access to an international distribution network across 60 countries to offer its complimentary suite of products,” said Achal Bakeri, Symphony Limited’s chairman and managing director.
For the financial year ending 30 June 2018, Climate Technologies is estimated to report net sales of AUD 55 million (₹274 crore) with an EBITDA of AUD 5.45-6.0 million (₹27.4-30.1 crore), respectively. Its revenues have consistently grown at a CAGR of ~9% over the last three years.
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Symphony Ltd, one of the country’s leading air-cooler manufacturers, on Friday announced that it aims to acquire Australia’s Climate Technologies Pty Limited.

India: Air-cooler maker Symphony to acquire Australia's Climate Technologies

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