The Viessmann family, who built one of the world's biggest fortunes through their manufacturing empire spanning over a century, is selling one of their key businesses in a rare overhaul of their 106-year-old fortune. The heating-and-cooling unit of the Viessmanns' namesake company will be sold to Carrier Global Corp. in a cash-and-stock deal that will push the family's wealth to as much as $14 billion, more than double from a year ago, according to the Bloomberg Billionaires Index.
The Viessmanns' empire dates back to 1917 when Johann Viessmann set up his workshop after working as a factory worker and blacksmith. His fortune changed when a gardener asked him to create a better way to heat the plants in his greenhouse. Johann created and patented a steel boiler, which became the driving engine of the family's business for decades.
Martin Viessmann, 69, and his son Maximilian, who turns 34 this year, have been running the firm in recent years alongside executives from outside the family. Maximilian became the sole CEO in July, having worked at Boston Consulting Group before joining the business as chief digital officer. The father-son duo has pushed the company to newer technologies such as heat pumps, electricity storage, and digital services, providing protection from downturns in their traditional business.
Closely held Viessmann is one of the so-called Mittelstand firms that are the foundation of Germany's industrial prowess. The mostly medium-sized, often family-owned companies provide more than half of the country's jobs and economic output. Such firms have helped make Germany the biggest source of European fortunes among the world's ultra-wealthy, and few have sold off major parts of their business.
The Viessmanns established a family holding company in 2020 that manages a venture capital division and a real estate unit. It also oversees the clan's foundation, which recently donated money to help support families in and from Ukraine. Their venture arm, VC/O, has allocated money to funds with investments in deep tech and early-stage energy businesses. Viessmann Real Estate, created as part of the 2020 restructuring, plans to develop unused sites of the dynasty's operating businesses.
If the Carrier transaction is completed, the family will receive about €9.6 billion ($10.5 billion) before tax considerations. The Viessmanns plan to allocate most of the cash proceeds into philanthropy and their namesake business, a company spokesman said. They are also set to take ownership of a roughly $2.7 billion stake in publicly traded Carrier, putting them among its biggest shareholders.
The deal is expected to be completed by year-end, though German regulators are reviewing it to safeguard green-technology jobs. Maximilian Viessmann will join Carrier's board if the sale goes through. The German manufacturer announced plans last year to invest €1 billion in green climate solutions, meaning the Viessmanns are far from done building out their empire, even as they cede control of the business that propelled them to riches.