Madison Air Buys ebm-papst for $5.4 Billion in Data-Center Cooling Push

Rising rack densities in artificial-intelligence data centers have made thermal management a critical constraint on capacity and reliability. Germany’s ebm-papst, founded in 1963, supplies high-performance airflow technology and pioneered integrated electronically commutated fan and motor systems. Its presence in about 40 countries and large installed base give Madison Air Solutions a way to extend beyond North America while adding technology used in data centers and other mission-critical cooling applications.

Madison Air Solutions said on Aug. 17, 2026, that it agreed to acquire ebm-papst for an enterprise purchase price of $5.4 billion, or about $5.0 billion after expected tax savings. The deal is expected to close around year-end, subject to regulatory approvals. ebm-papst is forecast to generate roughly $2.8 billion in 2026 revenue and $343 million in adjusted EBITDA. Madison Air expects $160 million in annual run-rate cost synergies by the third year and earnings accretion in the first full year after closing.