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Johnson Controls and Tyco Are Discussing a Merger, Report Says

The Davos World Economic Forum 2015The Davos World Economic Forum 2015
Alex Molinaroli, chief executive officer of Johnson Controls Inc., speaks during a session on the opening day of the World Economic Forum in Davos, Switzerland.Photograph by Jason Alden — Bloomberg via Getty Images

Johnson Controls and Tyco International are reportedly in advanced talks to merge, and a deal, if reached, could be announced by Monday.

According to the Wall Street Journal, the combined company wold be valued between $15 billion and $20 billion.

[MONDAY UPDATE: The two companies have made it official]

Johnson (JCI) is a Fortune 500 company that manufactures auto batteries, among other things. The company saw revenue grow by about 2% between 2013 and 2014. However, WSJ reports that its stock price took a 25% hit over the past year as investors appeared to worry about its future growth, likely amid concern about climate change. Valued at $33 billion as of March 2015, the company is now worth about $23 billion.

Tyco (TYC), an Ireland-based security systems company, has also seen shares fall over the past year. It is valued just under $13 billion.

If the deal is completed, it would be Johnson’s largest in its more than century-long history. The merged company is expected to be headed by current Johnson chief executive Alex Molinaroli.