Chart Industries And Flowserve Merge
Combined Companies Will Have An Installed Base Of More Than 5.5 Million Assets In More Than 50 Countries
By B. Henry Henderson
Chart Industries Inc. (Chart) and Flowserve Corp. have entered into a definitive agreement to combine in an all-stock merger of equals. The combined company is expected to have an enterprise value of approximately US$19 billion based on the exchange ratio and the closing share prices for Chart and Flowserve as of June 3, 2025.
With an installed base of more than 5.5 million assets in more than 50 countries, the combined company will address the full customer lifecycle from process design through aftermarket support.
The combination brings together Chart’s expertise in process technologies across compression, thermal, cryogenic, and specialty solutions and Flowserve’s 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.
“Combining Chart and Flowserve creates a comprehensive solutions platform, with the financial strength and resilience to continue driving growth and long-term value,” said Jill Evanko, president and chief executive officer (CEO) of Chart. “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.”
The combined company will have significant recurring revenue streams, with a global installed base of more than 5.5 million assets and 42% 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.
Combined platform delivers a system Approach to address full customer lifecycle.(Source: Chart/Flowserve)
“The merger will create a differentiated leader with the scale and resilience to meet the significant demand for comprehensive industrial process technologies and services,” said Scott Rowe, president and CEO of Flowserve. “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.”
Evanko and Rowe expected to generate approximately US$300 million of annual cost synergies within three years following the transaction close, primarily from materials and procurement savings, roofline consolidation, organizational efficiencies, and elimination of duplicate public company costs.
The transaction is expected to close in the fourth quarter of 2025. Upon closing, the combined company’s board will comprise 12 directors, six of whom will be from Chart and six from Flowserve. Evanko will serve as the chair of the combined company’s board of directors, Rowe will serve as CEO of the combined company.
At the closing of the transaction, Chart shareholders will receive 3.165 shares of Flowserve common stock for each share of Chart common stock owned. Following the close of the transaction, Chart shareholders will own approximately 53.5% and Flowserve shareholders will own approximately 46.5% of the combined company, on a fully diluted basis.
Following the closing of the transaction, the combined company will have its headquarters in Dallas, Texas, and expects to maintain a presence in Atlanta and Houston, supported by a global footprint across more than 50 countries. The combined company will assume a new name and brand following close.
