Wesco has signed a definitive agreement to acquire Newark Engineering Group, a Singapore-based provider of data center cooling and lifecycle services, in a deal aimed at expanding Wesco’s data center cooling footprint in Southeast Asia.
Under the terms of the agreement, Wesco will acquire 100% of Newark for a cash-free, debt-free purchase price of 175 million Singapore dollars (approximately $136 million USD).
Newark Engineering Group designs, supplies, installs, commissions, and maintains thermal management systems used in data centers. The company provides engineered cooling and customized HVAC solutions spanning the data center lifecycle, from design support and equipment supply through ongoing maintenance. Newark is headquartered in Singapore and has offices in Malaysia and Indonesia, with customers across Southeast Asia including Singapore, Malaysia, and Indonesia.
For data center operators, the practical takeaway is that cooling capability is increasingly being treated as a services business, not just an equipment sale. Design-to-commissioning-to-maintenance scope is where schedule risk, handoff risk, and long-term reliability tend to show up, so consolidation in this part of the value chain can change how projects get delivered and supported in-region.
John Engel, chairman, president, and CEO of Wesco, said Newark provides “integrated, turnkey cooling solutions” with “strong partnerships and a blue-chip customer base that includes global technology and Fortune 500 companies.” Engel added that Wesco expects the deal to “generate attractive returns within the first year.”
Wesco said Newark generated approximately $60 million in revenue in 2025 and that Newark is EBITDA margin accretive to Wesco’s portfolio, with a purchase multiple below Wesco’s current trading multiple.
Newark Managing Director Fanny Lee said, “Partnering with Wesco will accelerate our growth and expand our ability to serve data center customers across Southeast Asia.”
The transaction is expected to close in the third quarter of 2026, subject to customary regulatory approvals and closing conditions.
Source: Wesco International
