Samsung Electronics is in talks to acquire Modine Manufacturing, the Racine-based maker of cooling systems for data centers, according to people familiar with the matter. A deal could come together as soon as the coming weeks, those people said.
The report, first published by Bloomberg, offers few other details about the potential transaction, including price or final terms. Samsung Electronics is an affiliate of Samsung Group, which is based in Seoul, South Korea, while Modine has long been a fixture of Racine's manufacturing base as a global thermal management solutions company with operations in more than two dozen countries, according to BizTimes.
Modine has spent the past year transforming itself into one of the more sought-after names in the data center cooling business. The company posted a record $1 billion in quarterly orders for the first time in its history, and its second quarter of fiscal 2027 marked the fourth straight quarter of record orders, the Milwaukee business outlet reports.
Data Center Revenue Nearly Doubles
Modine's data center business revenue grew 95% this quarter to nearly $440 million, up from $225 million a year earlier, per the same BizTimes report. Modine's own investor relations materials similarly describe the segment delivering strong growth alongside commercial HVAC, which grew 23% in the same quarter, according to a Modine investor relations release.
The company has also disclosed a $400 million data-center deal, with work slated for 2027, under which it will supply custom air handling units to an unnamed hyperscaler, the article notes. Modine separately has described a $4 billion long-term cooling solutions agreement reportedly with Google, though the terms of that arrangement have not been independently confirmed.
Fiscal 2026 Sales Hit Record, Even as Earnings Slipped
For the fiscal year that ended March 31, 2026, Modine reported record net sales of $3.2 billion, up 23% from the prior year. Net earnings, however, came in at $123.3 million, down about 34% from the previous fiscal year, the outlet reports.
To keep pace with demand, Modine committed to add more than $100 million of capacity over the next year, including at plants in Franklin and Calgary, Canada. Modine opened its Franklin plant in 2025 and sought 300 workers there as of September, and CEO Neil Brinker said the company will increase production lines at the Franklin plant from 13 to 20 by the end of the year, per the same account.
A Broader Corporate Shake-Up Underway
The potential Samsung talks arrive as Modine is already mid-transformation on another front. The company announced in September that it would rebrand as Modexus Solutions following the planned spinoff of its performance technologies business, which will be combined with Gentherm in a deal valued at $1 billion announced earlier in 2026, BizTimes reports.
Whether that broader restructuring would factor into any Samsung transaction is not addressed in the reporting so far. For now, the acquisition talks remain unconfirmed as a done deal, with Bloomberg's sourcing describing only discussions that could potentially conclude within weeks.
