ABB has sold the heating, ventilation and air conditioning (HVAC) business of Thomas & Betts – the company it acquired in 2012 – to Nortek, a Providence, Rhode Island-based manufacturer of home and office solutions.

Nortek has agreed to buy the assets for US$260m in cash in a transaction that is expected to close in the second quarter, following regulatory clearance.

ABB, the Swiss power and automation giant, said it was divesting the business because it offered no synergies with its core product portfolio.

Ulrich Spiesshofer, ABB CEO, said the divestment was in line with the company's strategy of continuously optimizing its portfolio and focusing on profitable growth in its core automation and power businesses. “Overall, Thomas & Betts continues to provide great synergies with significant growth opportunities and our integration process is fully on track,” he said.

The company bought Thomas & Betts for $3.9bn for its low-voltage electrical infrastructure products. The Memphis, Tennessee-based manufacturer had a big share of the low-voltage market in the US, and ABB expected the acquisition to make it a major player in the market.

US is the world's largest low-voltage power distribution market, the Swiss company said.

Thomas & Betts sold cabling and electrical infrastructure products into the data center market, where ABB is also a major player.

Thomas & Betts CEO Chuck Treadway said HVAC performed well for the company and its employees and customers would benefit from investment by Nortek, an HVAC specialist. “Acquiring this business will enable Nortek to extend its residential heating and cooling business into the adjacent segments of the commercial HVAC market,” he said.