Swedish-based NIBE to acquire WaterFurnace
June 23, 2014 | By HPAC Magazine
“I believe this is a compelling offer for our shareholders and I am confident that WaterFurnace and its employees have found an excellent strategic partner in NIBE. The combined talents of these two fine companies are aimed at helping people around the globe find sustainable energy solutions. As CEO of WaterFurnace and on behalf of my whole team, I can state that we are excited to be joining one of the market leaders in our industry,” said Tom Huntington, CEO of WaterFurnace.
Founded in 1983, WaterFurnace’s product offering includes geothermal heat pumps, smart control systems, hot water storage tanks and indoor air quality solutions. Products are marketed under the WaterFurnace and GeoStar brands in North America, and the WFI brand via a joint venture in China. WaterFurnace achieved net sales of US$119 million in 2013. Residential products for retrofit and new construction account for about 70 per cent of net sales with the remainder being solutions for commercial use. Headquartered in Fort Wayne, IN, WaterFurnace has 267 employees and has been listed on the Toronto Stock Exchange since 1993.
NIBE is organised around three business areas – NIBE Element, NIBE Energy Systems and NIBE Stoves. NIBE Energy Systems is a market leader for heat pumps in Europe and a manufacturer of water heaters and other products for indoor climate comfort. NIBE Element manufactures components and solutions for measuring, controlling and electric heating applications. It supplies manufacturers and users with components and systems within these areas. NIBE Stoves is a manufacturer of wood-burning stoves.
Upon completion of the transaction, which is expected to occur in the third quarter of 2016, WaterFurnace will continue to operate as a separate entity under the leadership of Huntington and his management team, forming part of NIBE Energy Systems. NIBE intends to develop the business as a growth platform in North America.