Pentair plc has acquired Union Engineering A/S in a shock carbon dioxide (CO2) sector shakeup.
Suring up its footprint in the global CO2 market, the takeover of Union Engineering’s technologies and service capabilities is said to be a ‘complementary’ move for Pentair, strengthening and expanding its offering within the industrial gas, food and beverage and biogas upgrading sectors.
It was not specified as to whether Union Engineering will continue to operate under its own name or be fully integrated into Pentair’s operations. Financial details of the deal also remained undisclosed.
Union Engineering is a well-established engineering company, specialised in sustainable technologies for capturing, recovering and purification of CO2. The Denmark-based business has delivered more than one thousand CO2 plants over the past 30 years and has completed installations in over 110 countries.
CO2: From a cool subject to a hot topic
With this coming together of Pentair and Union Engineering, we’re reflecting on not just another consolidation in the global gases business, but a union that exemplifies the shift in the carbon dioxide (CO2) market in recent years – from a cryogenically cool subject to an increasingly hot topic.
gasworld understood a major announcement was in the offing from Pentair, but could not have envisaged such a big deal. And yet, during these seemingly heady days of merger and acquisition (M&A) activity within the global industrial gases business, perhaps one should not have been surprised.
The CO2 business itself has been the subject of considerable consolidation in recent years, though largely in the North American market, where we have seen the acquisition of EPCO Carbon Dioxide Products, Inc. by Air Products and MATHESON’s takeover of Continental Carbonic, the number two supplier of dry ice in the region, to name just two headline deals. Cold Jet also revealed its acquisition of fellow dry ice specialist IceTech just last year.
The purchase of Union Engineering becomes the latest strategic move in an increasingly profitable business for the gases and engineering industries…
Daniel Stirpe, Pentair Vice-President, Process Technologies, signified that the addition of Union Engineering’s solutions and services will “provide customers greater access to innovative solutions and a wider and complimentary product portfolio,” whilst Jens Thøger Hansen, former Chairman of Union Engineering, added, “We are pleased to have reached an agreement with Pentair as the two companies complement each other well in a number of areas.”
“We believe that Union Engineering, under Pentair, will continue the positive development and have an even stronger foundation in the market for CO2 equipment for the benefit of both customers and employees going forward.”
It was revealed that Union Engineering’s partly-owned subsidiary Airco Diet A/S is not part of the transaction and will remain under the ownership of parent company Capidea along with several minority shareholders.