LUND, Sweden, March 21, 2025/ PRNewswire/– Alfa Laval today reveals that it has actually signed a binding put-option contract to obtain the Fives Cryogenics service system, part of Fives Group, for an overall set purchase cost of EUR 800 million on a money and debt-free basis. Fives Cryogenics is a world-leading professional in cryogenic heat transfer and pump innovations, headquartered in France The suggested acquisition stays based on assessment with the pertinent works councils, after which the celebrations anticipate to participate in a conclusive purchase contract. This suggested acquisition would offer Alfa Laval with a strong portfolio of heat transfer and pump items for gas liquefaction.
Cryogenic innovations are important both for standard gases like LNG and for emerging gas applications like hydrogen and carbon capture. Fives Cryogenics has more than 60 years of experience creating and producing cryogenic heat exchangers and pumps for gas liquefaction. The business holds a strong position worldwide market with producing centers in France, China and Switzerland Fives Cryogenics uses more than 700 individuals and in 2024 had earnings of roughly EUR 200 million Looking forward, the business is anticipated to create earnings of EUR 200 -250 million and be neutral to favorable to the Alfa Laval group margin.
” By including cryogenic innovations to the Alfa Laval portfolio, we would broaden our abilities to move energy performance and the energy shift forward,” states Tom Erixon, President and CEO, Alfa Laval. “Our company believe that Fives Cryogenics would be an outstanding addition to Alfa Laval, and we see strong capacity in business and crucial synergies in between Fives Cryogenics’ deep technological knowledge in cryogenics and Alfa Laval’s strong position in the international gas market. We prepare to continue to buy abilities and development in the next couple of years, particularly in the crucial production center in Golbey, France”
” In the next development stage, structure on the financial investments recognized and devoted by the Fives Group, Fives Cryogenics would be well served by coming from a commercial group with deep understanding of the innovation and a worldwide existence in the future development locations. With Alfa Laval, Fives Cryogenics would have a strong owner who I understand would establish the business and the group even more,” states Frédéric Sanchez, CEO of the Fives Group.
From an organizational viewpoint, the cryogenic service would become part of Alfa Laval’s Energy Department and run as a brand-new different service system.
Closing of the deal goes through the needed regulative approvals and is anticipated throughout 2025. The all-cash deal will be moneyed by existing liquidity and financial obligation funding. Jefferies functions as monetary consultant to Alfa Laval, while White & & Case functions as legal consultant.
This is info that Alfa Laval AB (publ.) is required to reveal pursuant to the EU Market Abuse Policy. The info was sent for publication, through the firm of the contact individual set out listed below, at CET 07:30 on 21 March 2025
Contacts
Johan Lundin
Head of Financier Relations, Alfa Laval
Mobile: +46 730 46 30 90
johan.lundin@alfalaval.com
Sara Helweg-Larsen
Head of Communications, Alfa Laval
Mobile: +46 730 35 80 98
sara.helweglarsen@alfalaval.com
This is Alfa Laval
The capability to maximize what we have is more vital than ever. Together with our clients, we’re innovating the markets that society depends upon and developing enduring favorable effect. Alfa Laval is a leading international company of top-notch items in the locations of heat transfer, separation and fluid handling. We’re set on assisting billions of individuals to get the energy, food, and tidy water they require. And, at the exact same time, we’re decarbonizing the marine fleet that is the foundation of international trade.
We leader innovations and options that allow our clients to open the real capacity of resources. As our clients’ companies grow more powerful, the objective of a genuinely sustainable world edges more detailed. The business is devoted to enhancing procedures, developing accountable development, and driving development to support clients in attaining their service objectives and sustainability targets. Together, we’re pioneering favorable effect.
Alfa Laval was established 140 years earlier, has clients in 100 nations, uses more than 22,300 individuals, and yearly sales were SEK 66.9 billion (5.8 BEUR) in 2024. The business is noted on Nasdaq Stockholm.
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