BY Fraser Tennant
In a deal envisaged to create a global leader in intelligent climate and energy solutions, air conditioner maker Carrier Global Corporation is to acquire a unit of German industrial manufacturer Viessmann.
Under the terms of the acquisition agreement, Carrier will acquire Viessmann Climate Solutions, the largest segment of Viessmann Group, in a cash and stock transaction – 80 percent cash and 20 percent in Carrier common stock – valued at €12bn.
A privately held company with a 106-year legacy of innovation, Viessmann Climate Solutions provides Carrier with an iconic, premium brand in the highest growth segment of the global heat pump and energy transition markets.
Moreover, with 70 percent of its business consisting of heat pumps and related accessories, solar PV, batteries and services, Viessmann Climate Solutions is a critical leader in Europe's energy transition.
“The acquisition of Viessmann Climate Solutions is a game-changing opportunity,” said David Gitlin, chairman and chief executive of Carrier. “Climate change, sustainability requirements and geopolitical factors are driving an unprecedented energy transition in Europe. Accelerated by government regulations and incentives, the transition creates a significant, long-term growth opportunity.”
As part of the transaction, Max Viessmann, chief executive of Viessmann, will join Carrier’s board of directors.
“Our purpose is to create living spaces for generations to come,” said Mr Viessmann. “Carrier's global reach, broad product portfolio, financial strength and shared commitment to sustainability will enable our climate solutions business to fully capitalise on our innovative, integrated solution offering and maximise our impact on Europe's independent energy transition.”
The transaction has been approved by the boards of directors of Carrier and Viessman and is expected to close around the end of 2023, subject to customary closing conditions and regulatory approvals.
Mr Gitlin concluded: “We are positioning ourselves to be the global climate solutions champion, poised to deliver higher growth and superior shareowner value.”
News: Carrier nears over $12 bln deal for German manufacturer Viessmann