Globenewswire·2026-02-24 11:30Core Insights - CECO Environmental and Thermon Group have announced a definitive agreement to combine in a transaction valued at approximately $2.2 billion, which will enhance CECO's capabilities in industrial process heating and thermal management [1][2][4] Company Overview - CECO Environmental is a diversified industrial company focused on environmentally friendly solutions, while Thermon is a leader in industrial process heating and temperature management [13][14] - The combined company will operate under the CECO Environmental name and will be led by CEO Todd Gleason, with two members from Thermon's board joining CECO's board [1][8] Strategic Benefits - The merger is expected to create a world-class industrial solutions platform, enhancing CECO's leadership in industrial environmental and thermal solutions [2][4] - The combination will provide a comprehensive platform of industrial solutions, addressing critical areas such as thermal and acoustic management, emissions control, and industrial air quality [4][5] Financial Aspects - The transaction will be funded through a mix of cash and stock, with Thermon shareholders having multiple options for consideration, including a mixed option valued at approximately $63.13 per share, representing a 26.8% premium over Thermon's closing stock price [6][7] - The combined entity is projected to generate approximately $40 million in annual cost synergies within 36 months, enhancing its financial profile and resilience [11] Market Position and Growth - The merger positions the combined company to capitalize on durable secular trends such as energy transition, decarbonization, and tightening environmental regulations, which are expected to drive long-term growth [2][11] - The integration of both companies is anticipated to accelerate growth through expanded customer relationships and global reach [2][4]