Agreement Arçelik-Whirlpool to form a new standalone European business

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Arçelik’s wholly owned subsidiary Ardutch B.V and Whirlpool Corporation’s wholly owned subsidiary Whirlpool EMEA Holdings LLC have signed a definitive Contribution Agreement for the creation of a new standalone business in the European home appliances sector. The agreement will see both Ardutch and Whirlpool transfer their European subsidiaries to the new company. After these transfers, it is expected that 75 per cent of the newly formed company will be allocated to Ardutch B.V. and 25 per cent to Whirlpool. The final post-closing ownership ratio will be determined after taking into account respective 2022 EBITDA, net asset values, net indebtedness and net working capital of the parties.

The agreement includes Whirlpool’s 38 European subsidiaries and 9 production sites located in Italy, Poland, Slovakia, and the UK, as well as Arçelik’s 2 production facilities in Romania and 25 European subsidiaries. Together, this will result in a production capacity of approximately 24 million white good products per year. The new company will manufacture, sell, and provide after-sales services for branded home appliances (including refrigerators, washing machines, vacuum cleaners, etc.) offering broad choice to consumers through a range of Arçelik’s brands, including Grundig, Arctic, Elektrabregenz, Flavel, and Leisure, alongside Whirlpool’s existing brands of Indesit, Hotpoint, Ignis, Privileg, and Bauknecht. The company will have regional brand rights for the Beko, Blomberg and Altus brands of Arçelik and for the Whirlpool brand of Whirlpool Corporation for a period of 40 years.

«This is a unique opportunity for two exceptional companies to come together with a focus on synergies, combined innovation, retail distribution, and sustainability and is consistent with our stated strategy – commented Hakan Bulgurlu, CEO of Arçelik-. With today’s agreement, we are creating a strong foundation to drive value creation for employees, shareholders, and European consumers of white goods, extending Arçelik’s footprint with new growth opportunities in an important region.»

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