German heating, industrial and refrigeration systems manufacturer Viessmann has bolstered its heating ventilation and air conditioning (HVAC) expertise with the acquisition of Durham-based Pacifica Home Services Ltd (PHS) – with the support of Midlands law firm Shakespeare Martineau.

PHS is a specialist in both installation and maintenance of integrated HVAC solutions with a further specialisation in heat pumps, and is well-known to end customers under the brand 0800 Repair.

The deal includes the acquisition of Oakes Energy Services Ltd, which will be integral to the development of the business.

By acquiring a majority stake in PHS, for an undisclosed sum, international manufacturer Viessmann will strengthen its service and sales activity in the UK long-term and help meet the growing need for decarbonisation through the retrofitting of homes, as well as meet the increased demand for heat pumps in new dwellings. In total, PHS employs approximately 240 people and is estimated to have made more than £45m worth of sales in 2021. Management from PHS will stay on board and will remain invested in the company.

”With the acquisition of PHS, we are strengthening our services and sales activities within the UK for the long term,” said Timo Tauber, managing director Viessmann Investment GmbH. “Even more importantly, we are positioning ourselves sustainably in the strongly-growing British heat pump market.”

For many years, heating with gas has only been permitted with condensing technology, whereby approximately 98% of the gaseous energy is converted into heat and hot water. From 2025, even this highly-efficient technology will not be permitted within new homes. This is where heat pumps come in.

Andrew Smith, partner at Shakespeare Martineau who led on the deal for Viessmann, providing legal due diligence support and advice on all legal aspects of the transaction, said: “With energy prices rising and climate change and heating methods for homes high on the agenda, this deal couldn’t have been more timely.

“We’re really pleased to have acted for Viessmann on an important deal for the company’s on-going growth in such an important sector. This showcases our ability to execute complex cross-border deals for multinational clients and also demonstrates the benefits of our membership of the international Multilaw network, with Viessmann having been introduced to us by German member firm Schalast.”