Platinum Equity has signed a definitive agreement to sell HVAC equipment supplier Heat Controller to Lennox (NYSE: LII), marking the final chapter of the private equity firm’s investment in Motors & Armatures, Inc. (MARS) and completing a series of strategic transactions designed to unlock value across the platform.
Financial terms of the transaction were not disclosed. The deal is expected to close later this year, subject to customary regulatory approvals and closing conditions.
Headquartered in Jackson, Michigan, Heat Controller supplies heating and cooling equipment to distributors throughout North America under its Comfort-Aire and Century brands. The company became part of Platinum Equity’s portfolio in 2024 through its acquisition of MARS, a distributor of HVAC and refrigeration parts, supplies and equipment.
The sale follows a broader transformation strategy implemented by Platinum after acquiring MARS. Over the past two years, the firm executed multiple initiatives aimed at expanding product offerings, improving operational efficiency and repositioning the business for strategic exits.
“The sale of Heat Controller represents the culmination of our MARS investment and delivers a successful outcome driven by focused execution on our original investment thesis,” said Jacob Kotzubei, co-president of Platinum Equity. “During our stewardship, we partnered with the company’s management team to create value through new product introductions, strategic M&A, synergy realization, investments in leadership talent, and an exit strategy that maximized value while divesting separate divisions to their most natural strategic buyers.”
Among the key milestones achieved during Platinum’s ownership was the acquisition of Global, the Source, which added U.S.-based manufacturing capabilities and expanded MARS’ product portfolio. The company also broadened its offerings into adjacent HVAC categories including equipment pads, drain pans, hangers, float switches and maintenance chemicals.
Operational improvements focused on procurement efficiencies, freight optimization and damage reduction initiatives, while the company recruited a new executive leadership team led by Chief Executive Officer Philip Windham, an industry veteran with experience at a leading HVAC original equipment manufacturer.
The Heat Controller transaction follows another major divestiture completed by Platinum in 2025, when it sold the MARS parts division to CSW Industrials, Inc. for $650 million. With the Heat Controller sale, Platinum will have effectively separated and monetized the major components of the MARS platform.
“We are grateful for our partnership with the entire MARS and Heat Controller team and are proud of what we accomplished during our ownership,” said Dan Krasner, managing director at Platinum Equity. “We believe Lennox is an ideal strategic home for the Heat Controller business and are confident the company is well positioned to continue building on its momentum in this next chapter as part of the Lennox platform.”
For Lennox, the acquisition expands its HVAC equipment portfolio and strengthens its position in the North American heating and cooling market. The company is a leading provider of residential and commercial climate-control solutions, including heating, cooling, indoor air quality, refrigeration and water-heating systems.
Heat Controller’s established distribution network and portfolio of equipment brands are expected to complement Lennox’s existing product offerings while expanding its reach across key distribution channels.
“We appreciate Platinum Equity’s support and partnership during an important chapter in our company’s evolution,” said Windham. “Their operational resources, strategic guidance and commitment to investing in the business helped strengthen our platform and create new opportunities for growth. We are excited to begin our next chapter with Lennox and continue delivering the service, flexibility and value our customers depend on.”
The transaction reflects continued consolidation across the HVAC industry, where manufacturers and suppliers are pursuing acquisitions to expand product portfolios, enhance distribution capabilities and capitalize on growing demand for energy-efficient heating and cooling systems.
Founded in 1995 by Tom Gores, Platinum Equity manages approximately $48 billion in assets and has completed more than 550 acquisitions across a wide range of industries. The Heat Controller sale represents another example of the firm’s strategy of acquiring businesses, implementing operational improvements and pursuing strategic exits designed to maximize value creation.
O’Melveny & Myers LLP served as legal advisor to Platinum Equity on the transaction.