Modine completes acquisition of Luvata Heat Transfer Solutions

|About: Modine Manufacturing Co... (MOD)|By:, SA News Editor

Modine Manufacturing Company (NYSE:MOD) completed acquisition of Luvata Heat Transfer Solutions announcement for which was made on September 6 for the purchase price of approximately $418M.

For the trailing 12 months ended September 30, 2016, Luvata HTS had net sales of $549M and EBITDA of $55M.

The company expects to achieve annual cost synergies of at least $15M within the first three to four years.

"The acquisition of Luvata HTS addresses our Diversify and Grow objectives very clearly and we have no doubt it will further Strengthen Modine as well, as this now-nearly $2B company moves forward with a broad base of earnings, reduced cyclicality and common focus," said Modine President and Chief Executive Officer, Thomas A. Burke.

Dennis Appel, previously President, Luvata HTS, will serve Modine as Vice President, Commercial and Industrial Solutions.

Burke continued, "Modine is now 10,500 employees strong with an expanded footprint and increased product portfolio.  The combination of Modine and Luvata HTS provides a complete product portfolio as well as agile manufacturing capabilities across the globe, all of which will allow superior response to customer needs.  We will provide consolidated results and updated guidance for fiscal 2017, including the effect of the Luvata HTS transaction, in connection with our third quarter earnings release."

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