Acquisition Details: All-Cash Transaction of $300 Million
Ingersoll Rand Inc. has completed the acquisition of Howden Roots LLC from Chart Industries, Inc. in an all-cash transaction of approximately $300 million.
Roots expands Ingersoll Rand’s product portfolio with new and incremental low-pressure compression and vacuum technologies. Roots has approximately $115 million in revenue and an established installed base that supports a strong aftermarket business model. As part of the transaction, Ingersoll Rand assumed ownership of the Connersville, Indiana (U.S.) manufacturing facility.
Revenue and Installed Base of Howden Roots
Vicente Reynal, Chairman and Chief Executive Officer of Ingersoll Rand, said, “This acquisition demonstrates our commitment to inorganic growth through value-enhancing acquisitions. We are excited to welcome the Roots team to the Ingersoll Rand family. Together, we will make life better – for our employees, customers, planet, and shareholders.”
Ingersoll Rand expects the acquisition to yield Adjusted EBITDA margins greater than 30% by year three. Roots has joined the Ingersoll Rand’s Industrial Technologies and Services (IT&S) segment.