Ecolab Inc. announced a definitive agreement to acquire CoolIT Systems for approximately $4.75 billion in cash, expected to accelerate organic sales growth in Global Water by 2% and total organic sales by 1% starting one year post-closing. The company reaffirmed its 2026 adjusted EPS guidance excluding the acquisition and provided Q1 2026 outlook.
Key takeaways
Definitive agreement to acquire CoolIT Systems from funds managed by KKR for ~$4.75 billion cash (29x next 12-month adj EBITDA, 24x 2027 adj EBITDA)
CoolIT expected to generate ~$550 million sales over next 12 months
Acquisition expected to close Q3 2026, subject to regulatory approvals and customary conditions
Financed with new transaction debt; pro forma net debt to adj EBITDA ~3x at close, returning to 2x by end of year 2 post-close