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08-12-2025
Bureau Report
NEW DELHI/ MUMBAI: Global private equity firm Advent International’s talks to acquire US giant Whirlpool’s India unit for up to $1 billion have collapsed due to disagreements over valuation, four people familiar with the matter told media.
Advent had emerged as the frontrunner to acquire a 31% stake in Whirlpool of India, opens new tab from its Michigan-based parent, Whirlpool Corp, opens new tab, which would have triggered a mandatory open offer to acquire a majority stake, the sources said.
In January, the US-listed home appliance maker said it had a 51% stake in its India unit and wanted to pare that to about 20% to pay off a major chunk of its debt amid a major rejig of its global assets. At the time, it had said it could get net cash proceeds of $550 million to $600 million from the sale.
If Advent had acquired the 31% stake, it would have triggered a mandatory open offer for an additional 26% under Indian regulations, giving it a controlling 57% stake. That, the sources say, would have translated into a total deal value of $1 billion for Advent.
Advent declined to comment, while Whirlpool did not respond to media queries. The sources declined to be named as the matter is confidential.
Part of the disagreement that scuttled the deal was that Advent wanted lower pricing since Whirlpool faces short-term headwinds in India, including stricter regulations on product standards and energy efficiency norms, said a source close to the negotiations.
Whirlpool parent’s “sole objective was to raise cash here to pay off debt, and the value they wanted was more,” said another person familiar with the negotiations.
Media could not immediately determine how much Whirlpool was asking for and what Advent’s counteroffer was.
Whirlpool has been a household name in India for decades, its “Whirlpool” jingle resonating across generations.
Whirlpool of India’s revenue from operations rose 16% in the financial year through March to $880.53 million, but competition from players such as LG Electronics India, opens new tab and Samsung Electronics, opens new tab has hit sales.
Advent’s interest in Whirlpool signaled a strategic push into the lucrative Indian market, complementing its existing investments in the country’s consumer durables sector, including Eureka Forbes.
Shares of Whirlpool India have dropped 47% this year.
In January, Whirlpool Corp, opens new tab said it would more than halve its stake in its Indian unit to about 20%, sending Whirlpool of India’s, opens new tab shares plunging an exchange-allowed maximum of 20% to a near ten-month low on Thursday.
The US-listed home appliance maker, which currently has a 51% stake in the India unit, said it estimates net cash proceeds, opens new tab of $550 million to $600 million from the sale, which it expects to close by mid-to-late 2025.
The company will remain Whirlpool of India’s largest shareholder, followed by a number of mutual funds with stakes of less than 10%.
Whirlpool Corp sold a 24% stake in the Indian unit for about $468 million last year and the latest sale comes as it aims to pay off a major chunk of its debt amid a major rejig of its global assets, including folding its European business into a new firm and selling its Middle Eastern and African businesses.
Whirlpool Corp, which has dues worth $1.85 billion in 2025, opens new tab, also said it expects to pay down about $700 million after the stake sale.
