Madison Air to Acquire ebm-papst for $5.4B

Madison Air Solutions has agreed to acquire German airflow technology provider ebm-papst for an enterprise value of $5.4 billion, with the purchase expected to close by year-end pending regulatory approvals. The deal would give Madison Air access to ebm-papst’s established European and Asian presence, complementing Madison Air’s existing strengths in ventilation, filtration and cooling systems. Ebm-papst reported revenue of about €2.24 billion in the most recent year, and Madison Air projects about $2.8 billion in 2026 revenue and roughly $343 million in adjusted EBITDA for the target. The transaction is valued at roughly 14.6x forecast 2026 adjusted EBITDA, with Madison Air expecting about $160 million of annual run-rate cost synergies by year three and adjusted earnings per share accretion in the first full year post-close, while keeping net leverage below 4x at closing. Mulfingen, where ebm-papst is headquartered, will remain its headquarters, and Madison Air foresees enhanced scale and market reach, particularly outside North America. The deal has been described as a strategic partnership that accelerates growth for both companies, providing Madison Air with differentiated airflow technology and access to attractive European markets.