Kohler Co. and Platinum Equity have officially concluded the transaction to establish Kohler Energy as an independent entity, with Platinum Equity assuming the majority ownership of the Energy business while Kohler Co. remains an investment partner. Specific financial terms of the deal have not been disclosed.
The decision to set up Kohler Energy as a separate business was first announced by Kohler in November 2023, marking a strategic move aimed at optimizing the company’s focus and investment priorities. Platinum Equity, a global investment firm with a robust track record in the industrial products sector and over $48 billion in assets under management, was chosen as the majority investment partner for this venture.
The Energy business portfolio encompasses a range of entities including Power Systems, Engines, Home Energy, Kohler Uninterruptible Power, Clarke Energy, Curtis Instruments, and Heila Technologies, each playing a crucial role in the energy resilience industry.
Commenting on the finalized transaction, David Kohler, Chair and CEO of Kohler Co., expressed confidence in the strategic direction, stating, “The strategic move allows Kohler to focus and invest in our global Kitchen & Bath, Wellness, and Hospitality businesses while also positioning the Energy business to reach its full potential under the ownership of Platinum Equity.”
Brian Melka, a seasoned leader with over a decade of experience at Kohler, has been appointed as the CEO of the Energy business. Melka, who has been instrumental in driving the group’s growth, emphasized the significance of this transition, stating, “We are excited for this next phase of Kohler Energy with Platinum Equity as a partner”. The demand for resilient energy is growing, and the world needs much more of what we do. Kohler has been an excellent steward of our business for more than 100 years, and this decision positions Kohler Energy to better deliver on that demand. Platinum Equity firmly supports our growth path ahead and can help further accelerate our progress in the global energy resilience industry.”
Platinum Equity, established in 1995, is a renowned global investment firm managing assets exceeding $48 billion.
“Platinum is committed to strengthening Kohler Energy’s position as an industry leader and investing in development of a new generation of innovative energy resilience solutions,” said Platinum Equity co-president Jacob Kotzubei. “We are excited about the prospects for the business, which has been at the forefront of energy resilience for more than a century. We have tremendous respect for David Kohler and the Kohler leadership team, appreciate their confidence in us, and are grateful for their continued partnership.”