Representatives of both companies have not confirmed this piece of news.
Whirlpool’s stock hit a 52-week high after reports about its acquisition by Bosch went viral.
The German engineering company Robert Bosch is considering a bid to acquire the American home appliance maker, Whirlpool. Sources cited by media reports suggest that Bosch is in discussions with advisors regarding this potential acquisition. Whirlpool, with a market capitalization of around $4.8 billion, would enhance Bosch’s position in the home appliance sector if the deal goes through. No official comments have been made by either company yet. Representatives from both Bosch and Whirlpool have stated that they do not respond to “market rumours.” Following the report, Whirlpool’s stock saw a 12.7 percent increase in early trading. Its stock hit a 52-week high after reports about its acquisition by Bosch went viral. In recent years, Whirlpool has been restructuring significantly, including merging its European operations with Turkish competitor Arcelik and divesting its Middle East and African businesses.
Whirlpool, known for its household appliances such as washing machines and refrigerators, has in recent years also launched espresso machines and other kitchen appliances as its traditional products have seen growth slow. The Michigan-based company recently said it would cut about 1,000 jobs to boost profit margins. Whirlpool has lost about 50 percent of its market value in the past two years.The potential acquisition comes as Bosch, the world’s largest automotive supplier, seeks to expand its division that produces large home appliances through acquisitions. Acquiring Whirlpool, which owns brands such as Ariston, Hotpoint, Ignis, and Privileg, would be one of the most significant disclosed deals for the German industrial giant.
Bosch CEO Stefan Hartung mentioned in May to the German business daily Handelsblatt that the company was considering several larger acquisition targets and did not exclude the possibility of entering new business areas or pursuing a global deal. In June, he informed reporters that the group was open to listing some of its divisions on the stock market as a way to explore financing options for these deals, though he did not specify which divisions might be involved.