April 14, 2023
Acuity Brands Acquires KE2 Therm
Niche company will be tucked into Distech Controls HVACR platform
Acuity Brands today announced the acquisition of KE2 Therm, a Missouri-based manufacturer of electronic controllers for refrigeration and air conditioning applications. The KE2 Therm products and team will be tucked into Acuity Brands’ Intelligent Spaces Group under the Distech Controls brand. Terms of the deal were not disclosed.
KE2 Therm reported having 24 employees in 2020. The company is outside the realm of being a traditional Acuity Brands’ strategic acquisition of another lighting and controls company, but considering Distech Controls’ existing presence in the HVACR space, this is a strategic acquisition that helps strengthen Distech’s solutions portfolio. KE2 Therm develops and provides intelligent refrigeration control solutions that are aimed at improving profitability by increasing system efficiency and decreasing operational and service costs.
“By combining Distech Controls’ market-leading controls, sensors, and software with KE2 Therm’s refrigeration solutions, we will improve our customer access and unlock new market opportunities,” said Patrick Holdmeyer, President of KE2 Therm. “We share the same values and focus on product innovation and superior technical support. We are thrilled to join Acuity.”
HVACR control is already in Acuity Brands’ wheelhouse
Distech isn’t just getting into the HVAC space; they have been in it a long time. The company has had numerous smart thermostats as part of its line for many years. They offer BACnet and LONWORKS controllers that integrate with Building Automation Systems (BAS) for large scale building management applications.
In February, Distech Controls exhibited in a 20’ x 30’ booth at AHR Expo – the HVACR industry’s largest annual trade show. The event is cosponsored by ASHRAE and AHRI. During the one day that inside.lighting attended, the Distech booth was bustling with attendees and staffers informed us that the booth was consistently busy.
Intelligent Spaces Group
Distech Controls and Atrius make up Acuity Brands’ Intelligent Spaces Group. The business unit generated $216 million in 2022 revenue, a 14% increase over the prior year.
“We are focused on increasing our addressable market for Distech Controls,” said Peter Han, President of the Intelligent Spaces Group. “In recent months, we have expanded our presence in new regions and now, with the acquisition of KE2 Therm, we will expand into the commercial refrigeration controls market as it transitions from analog to digital controls. KE2 Therm’s controls and software will help us lead this transition, and we are excited to welcome the talented team to Acuity.”
The transaction is expected to close during the spring of 2023 when KE2 Therm will begin integrating into Distech Controls within the Intelligent Spaces Group business segment of Acuity.
