LENNOX INTERNATIONAL INC acquires AES (AES Industries, Inc. and AES Mechanical Service Group, Inc.)

LENNOX INTERNATIONAL INC acquired AES (AES Industries, Inc. and AES Mechanical Service Group, Inc.) for approximately $94.9 million (total consideration, net of cash acquired, per FY2023 10-K), a transaction completed in October 2023, structured as all cash.

AES (AES Industries, Inc. and AES Mechanical Service Group, Inc.) operates in Building Climate Solutions (then reported within the Commercial segment), is based in North America (United States), had revenue of about approximately $13 million of net sales recognized from the acquisition date through December 31, 2023 (per FY2023 10-K). Lennox acquired AES Industries, Inc. and AES Mechanical Service Group, Inc. (collectively "AES"), a company dedicated to service and sustainability in the light commercial HVAC market across North America. AES provides installation services, adapter curbs, and reclaim/recycle services, and is one of the larger manufacturers of roof curbs and diffuser systems serving the U.S. light commercial market. The acquisition was reported within Lennox's Building Climate Solutions segment.

Lennox positioned AES as extending its commercial HVAC services to deliver "front-to-back" life-cycle integrated services to AES and Lennox customers, consistent with its strategy of improving its total life-cycle value proposition.

AES added installed-base service, curbs and reclaim capabilities that let Lennox sell integrated life-cycle services to commercial customers. Enabled delivery of front-to-back life-cycle integrated services to AES and Lennox commercial customers. Building Climate Solutions segment (Lennox Commercial); AES President Jason Benton joined Lennox Commercial in a leadership role Alok Maskara, Q4 2023 earnings call: "We also simplified our portfolio with the sale of the European businesses and improved our total life cycle value proposition with the recent AES acquisition."