Rheem to buy Nortek Global HVAC

Rheem on Wednesday “announced its intent” to acquire Nortek Global HVAC (NGH), as first reported by Contracting Business. 

The big picture: This marks the second major OEM deal announced in the past two months, following Bosch’s acquisition of Johnson Controls’ residential HVAC portfolio.

• Rheem is North America’s fourth-largest HVAC manufacturer, holding an ~11% market share, according to a 2020 report.   

What’s happening: NGH, which manufactures Maytag and Frigidaire HVAC products, will become part of Rheem’s Global Air division. No financial terms were disclosed. 

• “NGH has a remarkable team that brings unique products, operational capabilities, and market channels to complement Rheem’s expanding Air and Water businesses,” said Mike Branson, President of Global Air at Rheem.

• Rheem didn’t respond to Homepros’ request for comment regarding contractor implications, particularly concerning pricing. 

What’s next: The deal is pending approval, with no specified closing timeline.