Finnish company Kone has agreed to acquire its German competitor TK Elevator from a consortium led by private equity firms Advent and Cinven for approximately $23.66 billion. Upon completion, the transaction will create the world's largest elevator manufacturer by revenue.

Under the terms of the agreement, Kone will pay the consortium around €5 billion in cash, plus up to €270 million in newly issued Kone shares. Kone's current total market capitalization is approximately €15.2 billion.

When including debt, the overall valuation of TK Elevator in this deal reaches about €29.4 billion.

Kone stated that the merged group will maintain its headquarters in Finland, with annual sales of roughly €20.5 billion and a combined workforce exceeding 100,000 employees.

In 2025, elevator company Otis Worldwide reported revenue of $14.4 billion, while Schindler Holding recorded sales of $13.9 billion.

The merger is expected to generate annual synergies of approximately €700 million.

Kone CEO Philippe Delorme commented, "In a rapidly evolving industry, this combination will significantly enhance our capabilities to better meet growing customer demand for reliable and sustainable solutions and services."

"It will also accelerate our strategic shift towards service and equipment modernization, strengthening the company's resilience."

TK Elevator was spun off from Thyssenkrupp in 2020 and operates as an independent company.

Kone's CEO Delorme, CFO Ilkka Hara, and Chairman Antti Herlin will retain their current positions in the newly merged group.