Chart Industries and Flowserve to merge in all-stock deal

Chart Industries, Inc. and Flowserve Corporation announced June 4 that they will merge in an all-stock transaction, creating a process technology powerhouse with an estimated enterprise value of $19 billion. The combination, billed as a “merger of equals,” unites two industrial leaders with complementary capabilities across compression, thermal, cryogenic, and flow management technologies.

The merged company, expected to finalize its new name and brand post-closing, will be headquartered in Dallas, with continued operations in Atlanta, Houston, and a global presence spanning more than 50 countries. Subject to regulatory and shareholder approvals, the transaction is expected to close in the fourth quarter of 2025.

End-to-end industrial solutions with global reach

The combined business will support the full customer lifecycle—from process design and mission-critical equipment to aftermarket support—drawing on a global installed base of more than 5.5 million assets. Chart and Flowserve reported a combined $8.8 billion in revenue over the last 12 months ending Q1 2025, with aftermarket services generating approximately $3.7 billion, or 42% of total revenue.

“This merger brings together two highly complementary companies with the scale, financial strength, and systems capabilities to meet growing demand for process technologies across a wide range of industries,” said Jill Evanko, President and CEO of Chart, who will serve as chair of the combined company’s board. Flowserve CEO Scott Rowe will become CEO of the merged entity.

Diversified markets and strategic synergies

The combined company will serve diverse high-growth markets including LNG, carbon capture, hydrogen, data centers, industrial gases, chemical processing, nuclear, water, mining, and food and beverage. Company leaders say the merger enhances resilience and predictability across market cycles.

Chart and Flowserve expect to realize approximately $300 million in annual cost synergies within three years, alongside incremental revenue synergies of at least 2%. Areas of savings include procurement, organizational efficiencies, and elimination of redundant public company costs.

The merger is anticipated to be accretive to adjusted EPS in the first year. The combined company expects to maintain an investment-grade balance sheet with a projected leverage ratio of 2.0x net debt to adjusted EBITDA at closing. Cash flow over the prior 12 months was approximately $1.8 billion.

Under the terms of the agreement, Chart shareholders will receive 3.165 shares of Flowserve stock for each share of Chart owned. Post-merger, Chart shareholders will hold approximately 53.5% of the new company and Flowserve shareholders about 46.5%.

The board of directors will include six members from each company. John Garrison will serve as lead independent director.

Global scale for an evolving energy landscape

Executives from both companies emphasized the opportunity to lead across energy transition markets, combining equipment and digital platforms for next-generation fluid and thermal management.

“Our expanded suite of technologies and services, combined with broader geographic reach and robust financials, creates a compelling platform for long-term value creation,” Rowe said.