Arçelik: agreement with Whirlpool for a new standalone business


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 new standalone business will combine both companies’ manufacturing expertise, European appliance brands, strong supply chains, effective distribution and sales networks, and innovative product pipelines. The new business will also build upon both companies’ strong track record in, and commitment to, sustainability and innovation. “This is a unique opportunity for two exceptional companies to come together with a focus on synergies, combined innovation, retail distribution, and sustainability – Hakan Bulgurlu, CEO of Arçelik, commented – and is consistent with our stated strategy. 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”. 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 business is expected to have more than 20,000 employees across multiple European countries. The combined net revenue of Arçelik and Whirlpool’s aforementioned subsidiaries is approximately 6 billion euros, based on the net sales of the companies’ European operations in 2021. Separately, the parties also agreed to sign a share purchase and sale agreement within six weeks for Whirlpool to divest its Middle East & North Africa portion (MENA) of the EMEA region to Ardutch B.V.