Munters Invests in US Coil Production and Italian Chiller Expansion While Updating HVAC Strategy

Munters Group has announced two production investments aimed at strengthening its data center cooling supply chain, alongside an updated strategic direction for its broader HVAC portfolio.

US coil joint venture with Lordan

Munters has agreed to form a joint venture with heat exchanger manufacturer Lordan to produce coils near the existing Munters Data Center Technologies site in Selma, Texas. Munters will contribute USD 9.5 million (approximately SEK 90 million) for a 45% stake; Lordan will hold the remaining 55%. Production is expected to begin within 12–18 months.

Key terms of the seven-year agreement:

• Specified coil quantities, preferred lead times, and pricing
• Lordan manages daily operations
• Munters provides supply chain and staffing resources
• Coils will support computer room air handlers (CRAHs) and fan walls

Chiller capacity expansion in northern Italy

In response to growing European demand, Munters plans to invest approximately EUR 25 million (roughly USD 29 million) to expand its existing chiller manufacturing facility in northern Italy. The company is acquiring an adjoining site and intends to develop additional production lines, R&D capabilities, and testing facilities over the coming year.

Updated HVAC strategy

At its Capital Markets Day, Munters outlined a refreshed strategic direction focused on three application areas: humidity control, thermal control, and air quality control. The company will continue developing its data center cooling business while selectively expanding thermal management solutions into selected segments of the applied HVAC market.

Other strategic elements include:

• Transfer of the Clean Technologies business line from AirTech to a newly established Enterprise Transformation & Incubation function
• Potential expansion into adjacent technologies, geographical growth, acquisitions, and increased collaboration across business areas
• Medium-term financial targets: annual net sales growth above 14%, adjusted EBITA margin above 14%, and adjusted return on capital employed (ROCE) above 15%

Stefan Aspman, President and CEO of Munters Group, stated that the company will continue to develop its position in data center cooling as a highly attractive market, selectively expand its thermal management offering beyond data centers, and build on its leading position in humidity control.

Source: Refindustry.