Robert Bosch GmbH is reportedly considering a bid for the American appliance maker Whirlpool Corp (NYSE:WHR), according to three people familiar with the situation.
If successful, this acquisition would increase Bosch’s presence in the white goods market, Reuters reports.
Shares of Whirlpool rose on the news on Wednesday.
Also read: Strategic divestiture: Whirlpool will partially reduce ownership of an Indian subsidiary in 2024
Bosch has been consulting with potential advisors about a possible bid for Whirlpool, which currently has a market capitalization of about $4.8 billion.
Whirlpool recently underwent significant restructuring, including merging its European operations into a new entity controlled by a Turkish competitor Arcelik and the sale of its activities in the Middle East and Africa.
The acquisition of Whirlpool, one of the largest white goods manufacturers in the world, would significantly strengthen Bosch’s home appliances division. This move is seen as a strategic attempt to strengthen its market position and compete more effectively against growing Asian market players.
Whirlpool shares are down more than 39% in the past 12 months. Investors can gain exposure to the stock via the iShares Core S&P Mid-Cap ETF (NYSE:IJH) and the Schwab US Dividend Equity ETF (NYSE:SCHD).
Price promotion: WHR shares were trading 17.50% higher at $102.24 at last check on Wednesday.
Also read: Burned by delay: Whirlpool settles for millions over dangerous hobs
Disclaimer: This content is produced in part using AI tools and was reviewed and published by Benzinga’s editorial team.
Photo by Grzegorz Czapski via Shutterstock
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