Increased Scale to Support Growth and Resilience3
$
1
.8B
Combined revenue
~$
1
.7B
Aftermarket revenues4
1
%
Combined Adj. EBITDA margin5
>
1
.5M
Global asset installed base
25
+
Countries
Chart Industries, Inc. and Flowserve Corporation have entered into a definitive agreement to combine in a ~$19B all-stock merger of equals transaction
Comprehensive suite of world-class, differentiated solutions.
The combination brings together Chart’s leading expertise in process technologies across compression, thermal, cryogenic and specialty solutions and Flowserve’s leading capabilities in flow management. Combining digital platforms that underpin this full suite of solutions will enable further opportunities to differentiate solutions, offering a comprehensive digital overlay, including monitoring and predictive capabilities.
Diversified and attractive end markets.
The combined company will have leading capabilities across General Industrial, Industrial Gases, Data Centers, Space, Transportation, Nutrition, Carbon Capture, Energy, Power Generation, Nuclear, Chemical, Liquid Natural Gas, Water, and Mining and Minerals. The combined company will be more predictable and resilient.
Expanded aftermarket franchise.
The combined company will have significant recurring revenue streams, with a global installed base of more than 5.5 million assets and 42%1,2 of total combined revenue from aftermarket and service. Chart and Flowserve expect to grow the aftermarket businesses by offering enhanced services and solutions to customers through an expanded global installed base and broad geographic reach.
Creating value for customers, partners and shareholders, with significant opportunities for employees
1. Shown inclusive of the impact of Chart’s acquisition of Howden; includes Chart’s Repair, Service & Leasing segment sales and Flowserve Aftermarket sales
2. Based on combined company revenue for the twelve-month period ending 3/31/2025
2. Based on combined company revenue for the twelve-month period ending 3/31/2025
3. Based on combined company revenue for the twelve-month period ending 3/31/2025
4. Shown inclusive of the impact of Chart’s acquisition of Howden; includes Chart’s Repair, Service & Leasing segment sales and Flowserve Aftermarket sales
5. Inclusive of full run-rate cost synergies of $300 million
4. Shown inclusive of the impact of Chart’s acquisition of Howden; includes Chart’s Repair, Service & Leasing segment sales and Flowserve Aftermarket sales
5. Inclusive of full run-rate cost synergies of $300 million
Significant financial benefits to create value for shareholders
Meaningfully Accretive
to combined Adjusted EPS in first year following close
~$300M
of expected annual cost synergies within 3 years following close with revenue upside
Committed to investment grade balance sheet with strong cash flow profile
Quarterly dividend
Expected to be paid, consistent with Flowserve's historical per share payout levels
~53.5%
Chart shareholders ownership of the combined company
~46.5%
Flowserve shareholders ownership of the combined company, on a fully diluted basis
Investor Presentation
“Combining Chart and Flowserve creates a comprehensive solutions platform, with the financial strength and resilience to continue driving growth and long-term value. Together we will provide a complete system of capabilities from front-end engineering design to mission critical equipment through aftermarket and servicing, delivering high-quality, value-added solutions to an expanded, global customer base. With robust cash flow, meaningful synergies, and greater aftermarket growth opportunities, the combined company will be ideally positioned to deliver superior and lasting value to its shareholders.”
Jillian C. Evanko
President and Chief Executive Officer of Chart
“The merger will create a differentiated leader with the scale and resilience to meet the significant demand for comprehensive industrial process technologies and services. Chart’s and Flowserve’s highly complementary businesses will strengthen our ability to meet our customers’ needs, empower innovation and drive long-term, sustainable growth. The combined company will operate across diversified end markets with further exposure to premium, high-growth areas and a substantial aftermarket franchise – resulting in increased commercial opportunities. I am confident that together, we will capitalize on long-term value creation for our customers, partners, shareholders and combined global team.”
Scott Rowe
President and Chief Executive Officer of Flowserve