International. Carrier announced that it has signed agreements to acquire Guangdong Giwee Group (Giwee Group) and its subsidiaries, including Guangdong Chigo Heating & Ventilation Equipment Co., Ltd. Carrier explained that Giwee Group's proven strength in the VRF sector and in the light commercial market in China will expand its access to this growing global market.
The global VRF and light commercial HVAC equipment market is expected to reach approximately US$20 billion by 2025, growing at one of the highest rates in the HVAC segment. Carrier says this acquisition will support its growth strategy to strengthen and grow its core, increase product extensions and geographic coverage, and increase digital services, as well as create recurring sales opportunities.
"We are very excited about the agreements to acquire Giwee Group. This will be an excellent strategic fit and will support our growth strategy in the global light commercial and VRF businesses," said Chris Nelson, President HVAC carrier. "Giwee Group has outstanding products and will give Carrier ownership of important technology in the VRF and light commercial segment. In addition, their ability to manufacture these products in the local market will bring an important new capability to our company. The VRF and light commercial markets are an attractive growth segment in our industry and we look forward to a successful future with Giwee Group."
Quan Zhang, CEO and majority shareholder of Giwee Group, commented: "Carrier and Giwee Group share a strong commitment to building high-quality businesses that achieve long-term sustainable growth. With Carrier's significant technical and R&D capabilities and global networks, we look forward to working with them to identify further growth opportunities."
Giwee Group is a China-based manufacturer of heating, ventilation and air conditioning products offering a portfolio of technologies such as VRF, modular chillers and light commercial air conditioning.
Carrier expects to close its acquisition of a controlling stake in Giwee Group in the second quarter of 2021 (and the remainder is expected to close in the third quarter of 2021), subject to customary closing conditions, including regulatory approvals.
