Samsung Electronics today announced that it has signed an agreement to acquire all shares of FläktGroup, a leading global HVAC solutions provider, for €1.5 billion from European investment firm Triton. With the global applied HVAC market experiencing rapid growth, the acquisition reinforces Samsung’s commitment to expanding and strengthening its HVAC business.

“Through the acquisition of FläktGroup, an applied HVAC specialist, Samsung Electronics has laid the foundation to become a leader in the global HVAC business, offering a full range of solutions to our customers,” said TM Roh, Acting Head of the Device eXperience (DX) Division at Samsung Electronics. “Our commitment is to continue investing in and developing the high-growth HVAC business as a key future growth engine.”

FläktGroup, based in Herne, Germany, has over a century of accumulated technological expertise and design capabilities, offering diverse products and solutions tailored to each customer. FläktGroup supplies high-reliability and high-efficiency HVAC systems to a wide range of buildings and facilities, including data centers that require stable cooling, museums and libraries managing sensitive historical artifacts, airports and terminals with high foot traffic, and large hospitals where hygiene, temperature and humidity control are critically important.

In the large-scale data center market globally, FläktGroup has secured high customer satisfaction through its product performance, reliability and service support, achieving substantial revenue growth over the past three years. FläktGroup’s data center solutions include its industry-leading liquid cooling and air cooling products, which have enabled customers to reduce energy consumption, contributing to achieving lower carbon footprint goals.

Last year, FläktGroup won the DCS Cooling Innovation of the Year Award at the DCS Cooling Awards, in recognition of its innovative and advanced technologies.

“We are extremely pleased that FläktGroup has become a part of Samsung Electronics. FläktGroup, as a global top-tier HVAC specialist with over a century of expertise, has been relied on by global large clients for its technological and product innovations,” said Trevor Young, CEO of FläktGroup. “Now, with Samsung Electronics’ global business foundation and investment, we expect to further accelerate our growth.”

In addition to data centers, FläktGroup has secured a diverse portfolio of over 60 large customers, including leading pharmaceutical companies, biotech and food and beverage firms, and gigafactories.

Samsung Investing in HVAC Business as Key Growth Engine

The HVAC industry is expected to continue growing with demand for innovative and energy-efficient solutions that improve air quality and control temperature and humidity to provide comfort and safety. Samsung will continue to invest in the HVAC business and has recently made acquisitions and investments across robotics, medical technology and the consumer audio sectors as part of its commitment to expand into new growth businesses.

According to some market research forecasts, the applied HVAC market is projected to grow from $61 billion in 2024 to $99 billion by 2030, at an annual growth rate of 8%, while the data center cooling market is expected to grow at a faster pace at an annual growth rate of 18%. The data center segment in particular has high entry barriers, requiring global supply experience and the ability to present optimal designs and solutions for customers.

In its acquisition of FläktGroup, Samsung anticipates sustained growth in data center demand due to the proliferation of generative AI, robotics, autonomous driving, XR and other technologies.

In addition, Samsung’s building integration control solution (b.IoT) and FläktGroup’s HVAC control solution (FläktEdge) will offer a full suite of HVAC and building energy control systems, through which the company expects an expansion of its service and maintenance business.

Samsung has been expanding its HVAC business with a focus on ductless systems, which supply general and system air conditioners to residential and commercial buildings. In May 2024, Samsung formed a joint venture with Lennox International Inc. to strengthen its position in the North America HVAC market and added Lennox’s distribution channels to the company’s own sales channels.

The transaction is expected to close within 2025.

Samsung Electronics today announces three new built-in appliance product lineups, the Contemporary Line, the Black Line and the original Chef Collection, designed to meet the tastes of European consumers. All new models in the lineups balance function with bespoke design in ways that blur the distinction between home furnishing and home appliance.

The Contemporary Line is Samsung’s newest built-in lineup. It features many of Samsung’s highly regarded kitchen appliance technologies and innovations, and the new true built-in refrigerator unit is expected to perform as strongly as Samsung’s freestanding models, which currently lead Europe’s refrigerator market.

The new true built-in refrigerator unit from the Contemporary Line is backed by thoughtful and flexible internal compartments, and innovative technologies such as No Frost, Twin Cooling Plus^TM, Cool Select Zone Plus. The No Frost feature addresses consumer demand to eliminate frost, which is an old problem of traditional built-in refrigerators, that can ruin food taste, cause bacteria contamination, and even harm fridge performance. Cool Select Zone Plus allows users to set freezer temperatures between -23℃ and 2℃ so they can customize their built-in to maximize food freshness. The refrigerator in the Contemporary Line can even be controlled wirelessly with Samsung’s new dongle, allowing owners to monitor and control settings from a distance.

The Black Line is introduced in Europe at the second half of this year with its refrigerator awaiting release early next year. The bold move to use an unconventional color to paint Samsung’s new built-in package reflects a shift in trend, which sees the kitchen as a central living space that is more than just a place for cooking and dining. The semi-matte black finish absorbs surrounding light and gives a modern and timeless look. The Black Line includes a refrigerator, oven, compact oven, induction cooktop, range hood, and dishwasher.

The Chef Collection is a premium lineup comprising a Kitchen Fit^TM design refrigerator, built-in oven, compact oven, warming drawer, induction cooktop, range hood and dishwasher. These units were inspired by insights from the Michelin-starred chefs who are members of Samsung’s exclusive Club des Chefs. The superior design and innovative technologies are geared towards maximizing the cooking and dining experience. The refrigerator boasts Samsung’s Twin or Triple Cooling technology, which cools the fridge and freezer separately with two or three different evaporators so each compartment maintains optimal temperatures and humidity.

“We see much potential for built-ins to meet customer demand in Europe and have invested aggressively to develop a thoughtfully designed and highly innovative lineup,” said Suh Byung-Sam, Head of Samsung’s Digital Appliances business. “We will continue to target the market here in Europe with unbeatable technologies and features that uniquely meet consumer needs.”

Samsung Electronics’ booth will be open at Level 2 of City Cube Berlin from September 2 through 7 for IFA 2016.