Alfa Laval has signed a binding put-option agreement to acquire the cryogenics business of the French Fives Group. The total fixed purchase price is EUR 800 million (approx. USD 870 million) on a cash and debt-free basis. The deal remains subject to consultation with the relevant works councils before a definitive purchase agreement is signed.
The acquisition would add cryogenic heat transfer and pump technologies to Alfa Laval’s portfolio. These technologies are essential for gas liquefaction in applications such as LNG, hydrogen, and carbon capture. Alfa Laval plans to integrate the cryogenics business as a new unit within its Energy Division.
Fives Cryogenics, based in France, has over 60 years of experience in designing and manufacturing cryogenic heat exchangers and pumps. Its manufacturing facilities are located in France, China, and Switzerland. The business employs more than 700 people and recorded EUR 200 million (approx. USD 217 million) in revenue in 2024. It is projected to generate EUR 200–250 million in annual revenue going forward and is expected to be margin-neutral to positive for Alfa Laval.
“By adding cryogenic technologies to the Alfa Laval portfolio, we would expand our capabilities to move energy efficiency and the energy transition forward,” said Tom Erixon, President and CEO of Alfa Laval. He noted strong potential for synergies, especially with plans to invest further in the Golbey, France production facility.
Frédéric Sanchez, CEO of the Fives Group, stated, “With Alfa Laval, Fives Cryogenics would have a strong owner who I know would develop the company and the team further.”
The acquisition will be funded through existing liquidity and debt financing. Regulatory approvals are pending, with closing expected during 2025.
Jefferies is acting as financial advisor to Alfa Laval, and White & Case is serving as legal advisor.