Whirlpool closes EMEA transaction
Whirlpool Corporation has completed its transaction with Arçelik A.Ş, making a significant step in the company's portfolio transformation – something that is expected to provide "considerable opportunities to maximize value".
The transaction creates a new European appliance company by combining Whirlpool Corporation's European major domestic appliance business with Arcelik's major domestic appliance, consumer electronics, air conditioning, and small domestic appliance businesses.
Whirlpool Corporation now owns 25% of this new entity, called Beko Europe B.V., and Arcelik owns 75%. Whirlpool is retaining ownership of InSinkErator and its EMEA KitchenAid small and major domestic appliance business. Separately, Whirlpool also completed the previously announced sale of the company's Middle East and North Africa business to Arçelik A.Ş.
Beko Europe B.V. will have combined revenue of approximately EUR 5.52 billion based on 2023 results.
"The completion of this transaction highlights our significant progress to transform into a higher-growth, higher-margin business," said Marc Bitzer, chairman and chief executive officer of Whirlpool Corporation, in a press release. "As a more focused and agile company, we are well-positioned to drive value and further our commitment to improving life at home."
The transaction is expected to deliver more than USD 750 million in net present value of future cash flow value, in addition to unlocking USD 200 to USD 300 million of incremental free cash flow in 2025.
Whirlpool Corporation will focus on its positions in the Americas and India.
