Carrier Confirms €12bn Acquisition of Viessmann Climate Solutions

Carrier Corporation has officially announced its plan to purchase Viessmann Climate Solutions, the largest division of Viessmann Group, for €12bn in a cash and stock transaction.  Viessmann Climate Solutions, with 70% of its operations focused on heat pumps, solar PV, batteries, and services, is considered by Carrier as a key player in Europe's energy transformation.

The combined entity is expected to generate over US$17bn in revenue and employ approximately 45,000 individuals.

The acquisition of Viessmann Climate Solutions, along with the planned exits from Fire & Security and Commercial Refrigeration, will streamline Carrier's portfolio and hasten its ambition to become the global leader in smart climate and energy solutions.

Carrier aims to divest its Commercial Refrigeration and Fire & Security divisions in 2024, using the proceeds to maintain an investment-grade profile and buy back the equivalent shares issued to the Viessmann family. Excluded from the planned exits are UTEC (Fire & Security's residential HVAC controls business), Carrier Transicold's transport refrigeration, Profroid mechanical systems, and Sensitech monitoring operations.

Carrier stated that the proposed exits from Fire & Security and Commercial Refrigeration would reduce operational complexity and enhance focus, resulting in a higher growth profile for the company globally.

Max Viessmann, CEO of Viessmann, is set to join Carrier's board once the acquisition is finalized, which is anticipated by year-end.