LG takes over OSO: Strong momentum for European water heating!

LG takes over OSO: Strong momentum for European water heating!

An exciting development in the heating industry is in full swing: The South Korean company LG has just announced the complete takeover of the Norwegian water heating specialist OSO. This acquisition could have a significant impact on the European market for heating, ventilation and air conditioning technology (HVAC). OSO, which has been in business since 1932, brings valuable experiences and technologies while LG plans to combine them with its own heat pumping technologies. Together they master the challenges of the impressive growing market, which includes a volume of $ 15 billion (approximately 13.7 billion euros), reports Stadt-bremerhaven.de .

Another highlight of this takeover is that OSO will continue as an independent company and can maintain its OEM partnerships. With this strategy, LG pursues the goal of significantly increasing automation and productivity based on its 60 years of experience in production. The European Air Water Heat pumps are currently blooming, and the BRG Building Solutions company predicts a doubling of the annual sales figures from 1.2 million units in 2024 to 2.4 million by 2030.

strategic acquisitions in the heating sector

But not only LG is on an expansion course! Bosch also has great ambitions. The company plans to take over the heating, ventilation and air conditioning business of Johnson Controls for around 7.4 billion euros. This strategic decision, which comprises a community share with Hitachi, aims to close a gap in your own product portfolio, especially in the area of ​​heat pumps and air conditioning systems. With this acquisition, Bosch wants to strengthen its market position in North America and Asia, such as sueddeutsche.de reported.

Johnson Control's business areas to be taken over in 2023 generated sales of around four billion euros and employed around 12,000 people. In the USA, the focus is on central air conditioning solutions, while more individual heating and cooling devices are required in Asia. The integration into the Home Comfort Group from Bosch believes that after the takeover, almost 26,000 employees will work under the company's roof.

growth forecasts for the market

The global market for heat pumps is also in motion. According to the latest studies, the market size is expected to grow from $ 75.44 billion to $ 120.40 billion by $ 120.40 billion, which corresponds to an annual growth rate of 9.8 %. The European market in particular has an increasing demand for energy -efficient devices, while society is increasingly emphasizing sustainability. The EU target stipulates that 65 % of the commercial building should be heated electrically by 2030, so mordorintelligence.com .

These developments clearly show that the demand for air conditioning technology is growing rapidly. In the first quarter of 2024, however, 52 % fewer heat pumps were sold than in the previous year, which brings a double surprise effect: on the one hand, the large companies like Daikin are still the market leader, on the other hand, the general market dynamics are promising. Despite short -term declines, the growth forecasts are consistently positive, supported by changing consumer habits and political measures.