Toronto-based smart home thermostat start-up Ecobee is being acquired by Generac Holdings for $770 million. The acquisition is expected to close during the fourth quarter.
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At closing and subject to customary adjustments, Generac will pay $200 million in cash along with $450 million in common stock to the current equity holders of Ecobee.
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Ecobee was founded in 2007 and is headquartered in Toronto. With a team of over 500 employees globally, Ecobeeās smart thermostats optimize heating and cooling systems to deliver energy savings for homeowners.
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The current Ecobee CEO Stuart Lombard will stick around in the role of CEO. Going forward, Ecobee will function as a subsidiary of Generac, out of its same Toronto-based office.
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āEcobeeās solutions are an important addition to Generacās extensive residential energy technology portfolio,ā said Aaron Jagdfeld, president and CEO of Generac. āResidential HVAC systems represent the largest energy-consuming device in the home today and Ecobeeās smart thermostats and sensors offer the most intelligent way to balance comfort with conservation.ā
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Ecobee has raised over $200 million in venture capital till now. It is backed by Amazon through the Alexa Fund and last raised capital in 2018, pulling in over $127 million CAD in Series C financing.
