FLSmidth Divests Air Pollution Control Business to Rubicon Partners

Copenhagen, Denmark – On June 30, 2025, FLSmidth A/S announced its decision to divest its Air Pollution Control (APC) business to Rubicon Partners, a UK-based investment firm specializing in complex industrial acquisitions. This strategic move marks the culmination of FLSmidth's ongoing divestment strategy initiated in 2020, which has seen the gradual sale of various business units including its Cement division.

The transaction, expected to finalize in the latter half of 2025, encompasses all associated assets of the APC business, including intellectual property, technology, and the existing employee base and order backlog. According to FLSmidth, the divestment is anticipated to yield a minor net gain, which will be reported under discontinued operations in their financial statements. The divestment is not expected to alter the company's previously disclosed financial guidance for the fiscal year 2025.

FLSmidth’s decision to sell the APC unit follows a strategic review of its operations, as stated by Jannick Denholt, the media contact for FLSmidth, who emphasized the firm’s commitment to enhancing core business areas while maintaining a focus on sustainability initiatives. "The divestment allows us to streamline our operations and concentrate on our MissionZero sustainability ambition, which aims for zero emissions in mining by 2030," Denholt explained.

Rubicon Partners, with over three decades of experience in investing in complex industrial businesses, seeks to leverage its expertise to enhance the operational performance of the APC unit post-acquisition. Andreas Holkjær, an investor relations officer at FLSmidth, noted that Rubicon has a proven track record and aligns with FLSmidth’s vision for sustainable business practices.

The divestment of the APC division completes a significant chapter in FLSmidth’s restructuring efforts, which have included the sale of other non-core assets. Analysts have noted that such strategic divestitures are crucial for companies aiming to optimize their operational focus and financial performance. Dr. Emily Carter, a Professor of Business Strategy at the University of Copenhagen, remarked, “FLSmidth’s divestiture reflects a broader trend among industrial firms to concentrate on their primary competencies and sustainability goals.”

The APC business division has been involved in developing technologies aimed at reducing emissions and improving air quality across various industries. The sale is expected to provide Rubicon Partners with the necessary resources to enhance the innovation and efficiency of the APC operations, which could lead to expanded market opportunities in the environmental technology sector.

In conclusion, FLSmidth’s divestment of the APC business signals a strategic pivot towards core competencies and sustainability, while Rubicon Partners stands poised to capitalize on the growth potential in the air pollution control market. As the transaction approaches finalization, the impact on both companies and the broader industrial landscape will continue to unfold, illustrating the dynamic nature of corporate strategy in response to evolving market demands and regulatory pressures.