Lennox sells European business
21st September 2023
FRANCE/BELGIUM: US manufacturer Lennox has entered into an agreement to sell its European commercial HVAC and refrigeration businesses, headquartered in Lyon, to funds managed by Syntagma Capital.
The deal covers the manufacturing and distribution of the full HVAC products portfolio refrigeration portfolio commercialised in Europe, the Middle East, and Africa. Lennox EMEA and Syntagma Capital say they will collaborate closely to ensure a seamless transition for customers, suppliers, and employees.
With a commercial presence in 46 countries, Lennox EMEA currently employs approximately 980 people. It has three production facilities, in France and Spain, and three brands – Lennox, Friga-Bohn and HK Refrigeration.
“The agreement to sell the European commercial HVAC and refrigeration business will be the best way to bring closure to our portfolio simplification decision announced last year,” said CEO Alok Maskara. “Our focus on North America will enable us to better serve our customers and achieve growth acceleration and margin resiliency,” he added.
“This strategic move will strengthen and consolidate Lennox EMEA’s position in the European HVACR market, opening the door to new business opportunities,” said Lennox EMEA geberal manager Ricardo Freitas. “With Syntagma Capital’s investment, we will amplify our growth and innovation to meet the market’s future needs.”
Lennox’s European business is said to represent approximately 5% of the company’s revenue.
Just last month, Lennox agreed to sell its German process cooling business Hyfra Industriekühlanlagen GmbH, a company it acquired in 1997, to Glen Dimplex.
The European business manufactures and sells unitary HVAC products and applied systems, including small package units, rooftop units, chillers, air handlers and fan coils. It also manufactures and markets refrigeration products including condensing units, unit coolers, air-cooled condensers, fluid coolers, compressor racks and industrial process chillers.
Syntagma
Established in 2009 and based in Brussels, Syntagma has deployed €1.1 billion in over 40 companies with revenues in excess of €4 billion and employing over 11,000 people worldwide. The company has previously carved-out businesses from public and private companies, including Solvay, Tessenderlo, Ashland, Clariant, Tyco International, Smurfit Kappa, ADT and Getronics.
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