In a transaction expected to close during the first half of 2024, Kohler Co. has announced its decision to set its energy division, Kohler Energy, up as a separate, independent business. Platinum Equity will be the majority investment partner. The global investment firm has 28 years of experience acquiring and operating global businesses that have been part of large corporate entities, acquiring businesses from Caterpillar, Emerson Electric, and Johnson & Johnson, among others.
Kohler Energy is a global leader in energy resilience, with a portfolio of backup and prime power equipment, traditional and electrified powertrain technologies, and home energy solutions. Businesses in Kohler's Energy portfolio include: Power Systems, Engines, Home Energy, Kohler Uninterruptible Power, Clarke Energy, Curtis Instruments, and Heila Technologies.
David Kohler, chair and CEO of Kohler Co., in a news release, described the decision as "a bold and strategic move for the future of our company." While he said Kohler would continue investing in the Energy business, he added, "This important moment in our journey signifies our commitment to deepening the focus and investment in Kohler’s Kitchen & Bath and Hospitality businesses and continuing to drive growth within our respective industries."
Brian Melka, group president of Kohler Energy, will serve as CEO of the Energy business, and David Kohler will serve on its board.
While Kohler and Platinum Equity work on completing the legal requirements and other aspects of the process, including consulting with employee works councils, Kohler will operate as one company.