The Finnish company Kone Oyj has entered into an agreement to acquire the German TK Elevator in order to create the world's largest manufacturer of elevator and escalator equipment. This is reported in the Kone press release.
The deal is valued at 29.4 billion euros ($34.4 billion), including debt obligations. The financing involves the use of available funds in the amount of 5 billion euros and shares that Advent and Cinven will have to sell.
Bank of America is acting as an advisor to Kone, and Goldman Sachs Group Inc. is acting as an advisor to TK Elevator. The transaction is expected to be completed in the second quarter of 2027, subject to regulatory approval in several jurisdictions.
The acquisition of TK Elevator, controlled by Advent and Cinven investment companies, will allow Kone to expand its market presence as a dominant manufacturer, doubling its market value to 30 billion euros and outpacing competitors, including the American Otis Worldwide Corp. and the Swiss Schindler Holding AG.
In addition, the deal will provide Kone with access to the US market, where TK Elevator has long been engaged in the installation and maintenance of elevators. Currently, Kone has a broader presence in Asia (35% of revenue).
According to Kone's management, the acquisition of TK Elevator will accelerate the company's "strategic transition to service and modernization" with 100,000 employees in 100 countries and annual sales of 20.5 billion euros. However, the deal may face antitrust hurdles that will require the sale of some assets as a remedy.
Kone has been showing interest in TK Elevator for many years, but a previous attempt to buy out the business in 2020 together with CVC Capital Partners Plc ended in failure, as Advent and Cinven won the tender for 17.2 billion euros.
Kone Oyj is a Finnish manufacturer of elevator and escalator equipment. The company also provides installation, maintenance, modernization and passenger management services. The headquarters is located in Espoo (Finland). The staff exceeds 60 thousand people in 70 countries. In 2025, annual sales amounted to 11.2 billion euros.
TK Elevator (TKE) is a German company producing elevators, escalators, moving walkways, etc. In 2020, TKE separated from Thyssenkrupp and became an independent company. The headquarters is located in Dusseldorf (Germany). In 2025, Alat, a division of Saudi Arabia's Public Investment Fund, acquired a 15% stake in TK Elevator.
Read our Telegram channel "Mergers and Acquisitions. AK&M».
Our channel at MAX is "Mergers and Acquisitions. AK&M».
