Samsung Electronics is in talks to buy Modine Manufacturing, a US company that makes cooling systems for data centers, according to Bloomberg, which cited people familiar with the matter. A deal would take the company behind Galaxy phones further into the hardware that keeps AI servers running. That market already drives much of Samsung's memory chip profits.
Bloomberg's sources said an agreement could be reached within weeks. As of November 13, 2026, neither company has announced a deal. Because talks are still going on, they could fall apart, or another buyer could step in.
Investors reacted quickly. Modine's stock rose about 29% in after-hours trading after the report, and Samsung's shares gained 2%. Before the jump, Modine was valued at around $5.6 billion.
Who Is Modine?
Modine is based in Racine, Wisconsin, and specializes in thermal management. Its products include industrial chillers from its Airedale business, such as the OptiChill series, which are used to cool large facilities like data centers.
The company has been moving away from its older vehicle business. In January, Modine announced plans to spin off its Performance Technologies unit, which mostly serves combustion-engine trucks and commercial vehicles, and merge it with Gentherm. Reports say that separation was completed in October, leaving Modine focused on climate and data center cooling.
The timing of a sale is notable. Before the Samsung report, Modine's shares had reportedly fallen about 15% after a disappointing quarterly earnings report.
Samsung's Growing Cooling Business
This wouldn't be Samsung's first cooling acquisition. In May 2025, the company agreed to buy FläktGroup, a European HVAC (heating, ventilation and air conditioning) specialist, from investment firm Triton for €1.5 billion. At the time, Samsung said it planned to expand quickly in HVAC, with data center cooling as a main focus.
Samsung later announced it would set up a production line in Korea for FläktGroup products, including advanced cooling for AI data centers. The line is being built at Samsung's Gwangju plant.
Modine would add a US base to that European business. Demand for this equipment is growing fast. AI accelerators draw a lot of power and give off a lot of heat, so data center operators are spending heavily on liquid and hybrid cooling to keep servers running reliably.
Samsung has plenty of competition. Vertiv and Daikin already make data center cooling equipment, and Samsung's Korean rival LG Electronics has been building its own liquid cooling business to sell to AI data centers.
What It Means for Samsung and Galaxy Owners
Buying Modine wouldn't directly change Galaxy phones, tablets or watches. It does show where Samsung is spending its money. The company has earned record profits selling memory chips to AI data centers, and it is now trying to supply more of the equipment those facilities need.
Samsung is also investing more in chips. This week, Samsung chairman Jay Y. Lee said the company's Onyang site in Korea will become a hub for advanced packaging of High Bandwidth Memory (HBM), the stacked memory used in AI accelerators. He said the site, which mostly handled assembly and inspection of standard chips, “will transform into a cutting-edge HBM hub.”
Taken together, Samsung wants to sell AI data centers both the memory and the equipment that keeps them cool. That would make the company less dependent on smartphones, TVs and home appliances, which still make up much of the business Samsung is known for in the US.
What Happens Next
Neither Samsung nor Modine has confirmed the talks, and no price or terms have been reported. Modine's value of about $5.6 billion before the report means a deal would be much larger than the €1.5 billion Samsung paid for FläktGroup.
If talks go well, Bloomberg's sources expect a deal within the next few weeks. Until then, the main things to watch are an official announcement from either company or news that another bidder has entered the race for Modine.
