MergerJul 23, 2026, 04:32 PM
Gentherm to Merge with Modine's Performance Tech; Q2 Net Income $4.42M
AI Summary
Gentherm Inc. announced a significant merger with Modine Manufacturing Co.'s Performance Technologies business, valued at approximately $1 billion, expected to close by Q4 2026. This Reverse Morris Trust transaction will result in Gentherm shareholders owning 60% of the combined entity. Additionally, the company completed the acquisition of Innovative Medical Equipment, LLC for $34 million. For Q2 2026, Gentherm reported net income of $4.42 million on product revenues of $416.17 million, with diluted EPS of $0.14, though net cash from operating activities decreased significantly year-over-year.
Key Highlights
- Modine Performance Technologies merger valued at approximately $1 billion, with Gentherm shareholders owning ~60%.
- Acquired Innovative Medical Equipment, LLC for $34 million, net of cash and debt.
- Q2 2026 product revenues increased to $416.17 million from $375.09 million in Q2 2025.
- Q2 2026 net income rose to $4.42 million from $0.48 million in Q2 2025.
- Q2 2026 diluted EPS was $0.14, up from $0.02 in Q2 2025.
- H1 2026 net cash provided by operating activities was $2.27 million, down from $31.70 million in H1 2025.
- Restructuring expenses totaled $5.96 million in Q2 2026 and $12.66 million in H1 2026.
- Total assets increased to $1.49 billion as of June 30, 2026, from $1.40 billion at year-end 2025.
Price Impact
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