NIBE Industrier AB of Sweden, parent company of WaterFurnace International, Fort Wayne, Ind.-based manufacturer of residential, commercial, industrial, and institutional geothermal and water-source heat pumps, announced May 12 it has entered into a stock-purchase agreement to acquire 100 percent of LSB Industries Inc.’s Climate Control Group Inc. (CCG) for USD 364 million.
CCG is the holding entity for six HVAC companies: ClimateMaster, International Environmental Corp., ClimateCraft, ClimaCool Corp., Koax Corp., and ThermaClime Technologies. These companies, all of which are located in Oklahoma City, manufacture both commercial and residential climate-control products, such as water-source and geothermal heat pumps, hydronic fan coils, modular geothermal chillers, and large custom air handlers. At the end of 2015, CCG had 1,259 employees and net sales of USD 274 million.
“This transaction further elevates NIBE’s position as one of the global players in sustainable energy and indoor climate solutions,” Gerteric Lindquist, chief executive officer (CEO) of NIBE, said. “Following our successful expansion of our Element and Climate Solutions businesses in the United States in recent years, the acquisition of CCG is a logical step for us to broaden our presence. We are pleased to be able to continue the successful development of CCG that began almost 50 years ago. Together with all employees and the new management team under Rick Aldridge, we look forward to starting a new phase in CCG’s history.”
Fred Andriano, interim president and CEO of WaterFurnace, said: “With the addition of the Climate Controls Group, NIBE Energy Systems will be much better positioned to provide competitively priced and leading-edge HVAC products in North American markets. WaterFurnace welcomes CCG’s employees into the NIBE family and looks forward to working together to expand the market. The move not only strengthens NIBE, but will also help WaterFurnace leverage improvements in the area of material purchasing and will provide efficiency gains over time.”