HVAC company Trane Technologies has acquired liquid cooling firm LiquidStack.

Announced this week, the companies said the deal enhances Trane Technologies’ data center thermal management solutions and will scale LiquidStack’s technology globally.

Upon closing, LiquidStack will operate globally within the commercial HVAC business unit of the Trane Technologies Americas segment. LiquidStack co-founder and CEO Joe Capes will join Trane Technologies in a leadership role and will continue to lead the LiquidStack business.

Terms of the deal were not shared. The transaction is expected to close in early 2026.

“Rising chip‑level power and heat densities combined with increasingly variable workloads are redefining thermal management requirements inside modern data centers,” said Holly Paeper, president, commercial HVAC Americas, 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. 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 center ecosystem.”

Founded as Allied Control in 2013, LiquidStack offers both single and two-phase liquid cooling solutions, and has developed its own cooling distribution unit. It also offers prefabricated modular cooling solutions for Edge applications.

The firm was acquired by cryptocurrency miner the Bitfury Group in 2015 and spun out again in 2021, securing $10 million in Series A funding from hyperscale hardware maker, Wiwynn.

Trane first invested in LiquidStack in March 2023 as part of a Series B investment that also included participation from Tiger Global.

“LiquidStack has been on a mission to innovate and deliver the most advanced, powerful, and sustainable liquid cooling solutions,” said Joe Capes, CEO, LiquidStack.

“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.”

LiquidStack’s two-phase immersion cooling has been adopted by NTT and Standard Power, among other customers. It also offers its own cooling distribution unit (CDU).

Traditionally a HVAC company, Trane has been making moves into liquid cooling for several years. It launched a 1MW coolant distribution unit last year. It also offers a fan wall for data centers, as well as chillers, and launched a 300kW CRAH unit in August.

Trane previously acquired Italian chiller manufacturer MTA in 2023. Late last year, it acquired Stellar Energy Digital, a provider of turnkey liquid-to-chip data center cooling solutions.