Trane Technologies has acquired LiquidStack, the global liquid cooling leader, for an undisclosed sum, entering a definitive agreement to scale the company’s liquid cooling technology.
Acquiring LiquidStack also aims to strengthen Trane Technologies’ position as a full-service partner for data centre cooling and help both companies meet next-generation high-density AI workloads.
The acquisition builds on Trane Technologies’ minority investment into LiquidStack, which took place in 2023. Now, the company hopes to harness LiquidStack’s expertise to enhance its own data centre thermal management solutions – which includes chillers, heat rejection, controls, liquid distribution and on-chip cooling.
Likewise, the deal will seek to scale LiquidStack’s pioneering technology globally. The company already works to support the data centre industry meet rising demand for generative AI (Gen AI) and hyperscale computing.
“Rising chip-level power and heat densities combined with increasingly variable workloads are redefining thermal management requirements inside modern data centres,” said Holly Paeper, president, commercial HVAC Americas at Trane Technologies. “Customers need integrated cooling solutions that scale from the central plant to the chip and can adapt as performance demands continue to evolve.”
She added: “LiquidStack’s direct-to-chip and immersion cooling capabilities and talent, combined with Trane’s systems expertise and global footprint, strengthen our ability to deliver end-to-end, future-ready thermal management across the entire data centre ecosystem.”
The bolt-on acquisition includes LiquidStack’s global team and manufacturing, engineering and research and development operations in Texas and Hong Kong. Upon closing, LiquidStack will operate globally within the commercial HVAC business unit of the Trane Technologies Americas segment.
It also follows Trane Technologies’ recent acquisition of Stellar Energy, which is expected to close in the first quarter of 2026.
Data centre organisations currently rely on LiquidStack for high-density liquid, direct-to-chip and immersion cooling solutions that work to improve efficiency, sustainability and performance.
LiquidStack co-founder and CEO Joe Capes will join Trane Technologies in a leadership role and will continue to lead the LiquidStack business.
“LiquidStack has been on a mission to innovate and deliver the most advanced, powerful and sustainable liquid cooling solutions,” said Capes. “Joining Trane Technologies enables us to accelerate that mission with the resources, scale and global reach needed to power next‑generation AI workloads in the most demanding compute environments.
“We are very excited to expand our impact and continue our growth as part of Trane Technologies.”
The transaction is expected to close in early 2026, subject to closing conditions.
Capacity is contacting Trane Technologies and LiquidStack representatives for additional comment.
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