Italian manufacturer of heat exchangers LU-VE announced its purchase of U.S.-based manufacturer of heat exchanger coils Zyklus on 27 June 2018.
Zyklus, based in Texas, manufacturers heat exchangers with a focuss on commercial refrigeration, refrigerated transport and air conditioning. LU-VE, who also produces heat exchangers, and ventilated products for the refrigeration, air conditioning and industrial process cooling markets has production facilities in Europe, Russia, China and India.
The acquisition will allow LU-VE to make use of Zyklus’ U.S. production facility in Texas according to the Italian company. “The Zyklus facility will allow an important strengthening of the commercial presence of LU-VE Group in North America, where in the next few years there will be a rapid development in the market for heat exchangers with ‘European’ technology, characterized by careful attention to environmental impact and energy consumption”, President of LU-VE Iginio Liberali noted in a press release.
LU-VE has been at the forefront of the development of CO2 technology in Europe and was involved in one of the first CO2 transcritical supermarkets in Europe in Switzerland around 14 years ago.
At the same time the Italian company has been manufacturing, since 2005, LSA (low surface area) heat exchangers that help lower the charge of ammonia in traditional industrial refrigeration systems according to Accelerate Italy.
The acquisition of Zyklus was made by LU-VE S.p.A., at a price of $10 million (€ 8.6 million), paid with available cash. Part of the money has been deposited in an escrow account, according to LU-VE, with the rest of the payment being delivered upon certain profitability results.