Grundfos Buys Peerless Pumps
Denmark-based pump manufacturer Grundfos Group has acquired Peerless Pump Co., a U.S.-based manufacturer of pumps and fire protection systems. It is Grundfos’ largest acquisition to date; Peerless has more than 400 employees and annual sales of $110 million.
Carsten Bjerg, Group President and CEO of Grundfos Group, said in the announcement that Grundfos has recently focused on growing its business globally, especially in Eastern Europe, Asia and North America. Grundfos has had a U.S. presence since 1973. “The US market has a significant growth potential and seen in that perspective the acquisition of Peerless is of great strategic importance to Grundfos.” The company continues its expansion of its R&D facilities and production capacity in North America. It sees the Peerless acquisition as crucial to strengthening its U.S. market position.
Grundfos’ sales in North America are $300 million. The U.S. pump market alone is estimated to be $6 billion, and Grundfos expects to double sales within a four-year period.
Søren Ø. Sørensen, Group Executive Vice President and Chairman of the Board of Grundfos in North America, said, “We expect a lot from this deal and see great potential for globalization, especially of the Peerless fire protection systems.” He also anticipates continued investments in the United States.
Dean E. Douglas will continue in his present position as President and CEO of Peerless with reference to the Grundfos Group’s new Regional Managing Director, Jes Munk Hansen.