Thermon Expands Electric Heater Offering Through Acquisition of F.A.T.I.

Rhea-AI Summary

Thermon Group Holdings, Inc. (NYSE:THR) has announced the acquisition of Fabbrica Apparecchiature Termoelettriche Industriali S.r.L. (F.A.T.I.), a Milan-based manufacturer of electric heaters for industrial applications. F.A.T.I. is a leading designer and manufacturer of electrical heaters and heating systems for various industrial end markets, including oil & gas, pharmaceutical, renewables, nuclear, and HVAC.

The acquisition is expected to broaden Thermon's geographic footprint and strengthen its platform to better serve the growing global market for electrification and decarbonization solutions. F.A.T.I.'s manufacturing facility in Milan and its extensive list of European certifications are seen as strategic assets for Thermon's expansion in Europe and Asia.

F.A.T.I. reported revenue of over 12 million euro in the calendar year ended December 31, 2023. The purchase price of 12.5 million euro, subject to customary adjustments, was funded with cash on hand.

Positive

• Acquisition expands Thermon's product portfolio and geographic footprint
• Strengthens Thermon's position in the electrification and decarbonization solutions market
• Gains access to F.A.T.I.'s manufacturing facility in Milan, Italy
• Acquires extensive list of European certifications and customer approvals
• F.A.T.I. reported revenue of over 12 million euro in 2023

Negative

• Cash outlay of 12.5 million euro for the acquisition

AUSTIN, TX / ACCESSWIRE / October 3, 2024 / Thermon Group Holdings, Inc. (NYSE:THR) ("Thermon" or the "Company"), a global leader in industrial process heating solutions, today announced the acquisition of Fabbrica Apparecchiature Termoelettriche Industriali S.r.L. ("F.A.T.I."), a manufacturer of electric heaters for industrial applications, based in Milan, Italy.

F.A.T.I. is a leading designer and manufacturer of electrical heaters and heating systems for a broad range of industrial end markets, including oil & gas, pharmaceutical, renewables, nuclear and HVAC. Since its founding nearly 80 years ago, F.A.T.I. has built a high-quality portfolio of technologically advanced and reliable solutions for the industrial electric heating market that are available in over 30 countries around the globe.

"We are excited to welcome F.A.T.I. to the Thermon family, a company with strong brand recognition in the electrical heating industry that shares our passion for providing safe, reliable, and innovative solutions to diversified markets," commented Bruce Thames, President and CEO of Thermon. "This acquisition is highly complementary to our product portfolio and broadens our geographic footprint, further strengthening our platform and enabling us to better serve the growing global market for electrification and decarbonization solutions. The addition of F.A.T.I.'s manufacturing facility in Milan, Italy strategically expands our global manufacturing footprint, and their extensive list of European certifications and customer approvals accelerate our ability to penetrate growing markets in Europe and Asia. We look forward to partnering with the tremendous team at F.A.T.I. and utilizing our Thermon Business System to scale our business and further advance our strategy to profitably grow through decarbonization, diversification, and digitization initiatives."

This partnership marks a significant milestone for F.A.T.I., as it allows us to leverage Thermon's extensive resources and global reach to further enhance our product offerings and better serve our customers worldwide," said Enrico Terruzzi, General Manager of F.A.T.I. "Thermon shares our values and commitment to innovation and excellence, and we are confident that this combination will enhance our ability to drive growth and deliver exceptional value to our clients."

F.A.T.I. realized revenue of over 12 million euro in the calendar year ended December 31, 2023. The purchase price of 12.5 million euro, subject to customary adjustments, was funded with cash on hand.

About Thermon

Through its global network, Thermon provides safe, reliable and mission critical industrial process heating solutions. Thermon specializes in providing complete flow assurance, process heating, temperature maintenance, freeze protection and environmental monitoring solutions. Thermon is headquartered in Austin, Texas. For more information, please visit www.thermon.com.

CONTACT:
Ivonne Salem, Vice President, FP&A and Investor Relations
(512) 690-0600
Investor.Relations@thermon.com

SOURCE: Thermon Group Holdings, Inc.

View the original press release on accesswire.com

FAQ

What company did Thermon (THR) acquire on October 3, 2024?

Thermon (THR) acquired Fabbrica Apparecchiature Termoelettriche Industriali S.r.L. (F.A.T.I.), a Milan-based manufacturer of electric heaters for industrial applications.

How much did Thermon (THR) pay for the F.A.T.I. acquisition?

Thermon (THR) paid 12.5 million euro for the acquisition of F.A.T.I., subject to customary adjustments.

What was F.A.T.I.'s revenue in 2023 before being acquired by Thermon (THR)?

F.A.T.I. reported revenue of over 12 million euro in the calendar year ended December 31, 2023.

How does the F.A.T.I. acquisition benefit Thermon's (THR) market position?

The acquisition broadens Thermon's geographic footprint, strengthens its platform for electrification and decarbonization solutions, and provides access to F.A.T.I.'s manufacturing facility in Milan and European certifications.