Cleveland-based Chart Industries Inc. has entered into an agreement with Wuxi City Zhongbo Heat Exchanger Co. Ltd., to acquire the company's brazed aluminum heat exchanger business. Financial terms of the agreement were not disclosed.
The agreement includes the construction of a new, purpose-built brazed aluminum heat exchanger manufacturing and cold box fabrication facility in Wuxi, China. Once completed, Chart's existing cold box fabrication facility in Changzhou, China, will be integrated into the new facility in Wuxi, which will increase capacity for Chart's D&S liquefied natural gas (LNG) business in Changzhou.
In other company news, Chart is expanding manufacturing capacity at its brazed aluminum heat exchanger operations in La Crosse, Wis., increasing capacity in North America by 40 percent. La Crosse will remain the design and manufacturing headquarters of global brazed aluminum heat exchanger operations. Both expansion projects are expected to be completed in the first half of 2014.
Brazed aluminum heat exchanger are integral to cryogenic processing plants for the production and purification of atmospheric gases such as nitrogen and oxygen; production of fundamental petrochemicals such as ethylene and propylene; and the processing and liquefaction of natural gas.
The acquired operations will be managed by Chart's Energy & Chemicals segment.