HOUSTON, TEXAS (Editors at Energy Analytics Institute, 21.Mar.2025) — Alfa Laval signed a binding put-option agreement to buy the Fives Cryogenics business unit, part of Fives Group, for a total fixed purchase price of €800mn on a cash and debt-free basis.
The deal remains subject to consultation with the relevant works councils, after which the parties expect to enter into a definitive purchase agreement, Alfa Laval said on 21 Mar. 2025 in an official statement.
Alfa Laval president and CEO Tom Erixon said in the statement that the company would continue to invest in capabilities and growth in the next few years, especially in the key production facility in Golbey, France.
Headquartered in France, Fives Cryogenics provides cryogenic heat transfer and pump technologies. The proposed acquisition would provide Alfa Laval — a global provider of first-rate products in the areas of heat transfer, separation and fluid handling — with a strong portfolio of heat transfer and pump products for gas liquefaction, the company said.
From an organizational perspective, the cryogenic business would be part of Alfa Laval’s Energy Division and operate as a new separate business unit.
Closing of the transaction is subject to the necessary regulatory approvals and is expected during 2025. The all-cash transaction will be funded by existing liquidity and debt financing. Jefferies acts as financial advisor to Alfa Laval, while White & Case acts as legal advisor.
Cryogenic technologies are crucial both for traditional gases like LNG and for emerging gas applications like hydrogen and carbon capture. Fives Cryogenics holds a strong position in the world market with manufacturing facilities in France, China and Switzerland and employs over 700 people. In 2024, Fives Cryogenics reported revenues of €200mn and looking forward, the company expects to generate revenue of €200mn-€250mn and be neutral to positive to the Alfa Laval group margin.
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By Editors at Energy Analytics Institute. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.
