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Johnson Controls signs deal to acquire Massachusetts-based Alloy Enterprises

The deal will add Alloy's direct liquid cooling platform to Johnson Controls' data center portfolio, subject to regulatory approvals.

Johnson Controls signs deal to acquire Massachusetts-based Alloy Enterprises

Johnson Controls has signed an agreement to acquire Alloy Enterprises, aiming to expand its capabilities in data center thermal management as compute demand grows. Alloy Enterprises is a Boston, Massachusetts-based company focused on a next-generation thermal management platform for high-performance data centers and other mission-critical industrial applications.

Founded in 2020, Alloy Enterprises develops a proprietary platform with advanced direct liquid cooling components. Johnson Controls said the technology can enable up to a 35% improvement in thermal management efficiency and reduce pressure drop by up to 75%, contributing to lower overall cooling system energy use.

“This acquisition is about enabling our customers to stay ahead of fast-changing compute demands by adding another core technology that enables us to optimize the overall thermal management architecture of a data center,” said Lei Schlitz, vice president and president, Global Products & Solutions at Johnson Controls. He added that the technology is intended to scale across the Johnson Controls portfolio and support advanced thermal management solutions for mission-critical applications.

Johnson Controls said Alloy’s capabilities include a proprietary manufacturing process intended to advance liquid cooling efficiency for GPUs/CPUs, memory, network interfaces and more. The company said these capabilities complement its existing data center cooling technologies, including its YDAM magnetic bearing chiller (3.5 MW, approx. 11.94 million BTU/h), its YK-HT two-stage economized centrifugal chiller, its Silent-Aire Coolant Distribution Unit (CDU) platform (500 kW to over 10 MW, approx. 1.71 million to over 34.12 million BTU/h), and its YHAU absorption chillers.

“We’re excited to join Johnson Controls and accelerate the impact of our unique technology,” said Alison Forsyth, co-founder and CEO of Alloy Enterprises. The transaction is expected to be completed in fiscal Q3, subject to closing conditions and receipt of regulatory approvals; financial terms were not disclosed. Johnson Controls also noted that statements about the acquisition are forward-looking and subject to risks and uncertainties.

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