SWEDEN: Alfa Laval is to sell its heat exchanger systems business, currently part of the Greenhouse division, to the NIBE Group.
The closing of the agreement is expected during the second quarter of 2018.
The heat exchanger systems business has been a part of Greenhouse since 2016 and reported revenues of SEK300m (€29m) last year.
“This business has indeed improved throughout last year,” said Tom Erixon, president and CEO of the Alfa Laval Group. ”However we concluded that it would have even better opportunities to develop under the ownership of the NIBE Group. NIBE Group is a solid player with a dedicated focus on the HVAC industry – and the heat exchanger systems will be a valuable complement to their current portfolio.”
“With the acquisition, NIBE Climate Solutions gets a high-quality product complement with good business opportunities within the district heating market, while providing positive synergies with NIBE’s heat pumps,” says Gerteric Lindquist, CEO of NIBE Industrier. “It is also valuable and positive that the management and employees in the heating and cooling business will continue their employment in the NIBE Group.”
The agreement to divest the heat exchanger systems business to the NIBE Group will impact in total about 60 employees based in Sweden, France, Russia, Czech Rep, Finland, UK and Slovakia. These employees will continue their employment in the NIBE Group following the closing date of the transaction.
Alfa Laval says it will continue to develop and produce heat exchangers for the HVAC market, including the district heating market. NIBE Group will remain a customer to Alfa Laval after the divestment.