Carrier to buy Viessmann’s heat pump business


Carrier says it will acquire Germany's Viessmann Climate Solutions in a cash and stock deal valued at €12 billion. The transaction will see Carrier acquire Viessmann's heat pump business, which is currently valued at $5 billion and expected to triple in size to $15 billion by 2027.

Carrier aims to establish itself as the leading residential and commercial heat pump manufacturer in North America and Europe through the acquisition. Carrier's Chairman and CEO, David Gitlin, said that “Viessmann Climate Solutions is uniquely positioned to capitalize on this opportunity with its premier brand, highly differentiated distribution channel, and innovative product offerings.” The deal is expected to close by the end of 2023.

Viessmann's Climate Solutions segment, which will be acquired by Carrier, consists of over 70% heat pumps and related accessories, as well as solar PV, energy storage, and associated services. Carrier expects that the combination of the two companies will create a business with a combined sales revenue of over $17 billion and approximately 45,000 employees.

Under the terms of the agreement, Carrier will acquire Viessmann Climate Solutions for €12 billion, with 80% in cash and 20% in Carrier common stock delivered to Viessmann Family Holdings. Carrier expects to fund the cash portion of the consideration through a combination of cash on hand and newly committed financing. Viessmann CEO Max Viessmann will also join Carrier's Board of Directors.

Popular content

The companies agreed on long-term guarantees, with operational redundancies ruled out for the next three years. The Viessmann Group will also remain the owner of its traditional brand, and most of the proceeds from the transaction are to be reinvested in the company.

Germany's Federal Economics Minister Robert Habeck reacted to the announcement, stating that “the planned sale of Viessmann's division shows that climate protection technologies are the technologies of the future … It is important that the advantages of our energy policy and the profits that are generated from it continue to benefit Germany as a business location. We will pay attention to that.”

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: