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Daikin Applied Acquires Custom Air-Handler Manufacturer Alliance Air Products

Combined capabilities will give customers full end-to-end cooling and comfort solutions for data centers and other high-growth, mission-critical applications

MINNEAPOLIS - March 2, 2023

Daikin Applied today announced that it has acquired Alliance Air Products, the San Diego-based leader in custom air-handling equipment design and manufacturing. Alliance Air’s engineering and technology expertise adds to the Daikin portfolio of high-efficiency equipment and services for data center cooling, and other mission-critical and custom applications. Engineers, and building owners and operators now have a single supplier for end-to-end HVAC solutions, enhancing time to delivery and productivity while lowering lifecycle costs.

Data center construction, in particular, is expected to grow at a high rate through 2028 and beyond, accelerating the demand for cooling solutions with an emphasis on energy efficiency and sustainability. The combined capabilities of Daikin and Alliance Air address these industry requirements, including chiller-to-computer room air-handler (CRAH) systems that help mitigate a data center’s environmental impact. These systems provide an ideal balance of energy and water conservation.

“Alliance Air has differentiated itself for its manufacturing acumen, creative designs, and nimble work and delivery,” said Jeff Drees, President and CEO of Daikin Applied. “While this acquisition does, indeed, uniquely diversify and strengthen our portfolio, the true advantage is to our customers, especially those with hyper-scale and colocation data centers. The integration with the Alliance Air team will be rapid and seamless so we can bring these benefits to our customers quickly.”

Alliance Air’s unparalleled precision and speed are enabled by its total wrap-around services that deliver comprehensive customer support — from engineering assistance to design, testing and field services. In addition to data center cooling, the merged operations will serve an array of applications that require custom designs, such as hospitals, manufacturing facilities and labs.

“Our customers need cost-effective, energy-efficient solutions that can evolve with their individual needs and larger industry trends,” said Luis Plascencia, who will continue as President and General Manager of Alliance Air Products. “As the number one air-conditioning company in the world, Daikin has the experience and know-how that will allow us to collectively scale with our customers. We’re bringing together exceptional talent, technology and services that truly offer it all — flexibility, reliability, efficiency and sustainability.”

Customers can expect enhanced agility to better serve their design and delivery needs, coupled with 360-degree service and a local approach backed by Daikin’s global resources and recognition.

“This is a pivotal moment for HVAC and data centers, and the timing for this acquisition could not be better,” Drees said. “We know that there are a lot of challenges that come with unprecedented market growth, and we’re planting our flag to lead the industry in a dynamic and more sustainable direction.”

Visit to learn more about Alliance Air Products, and its equipment and services. For additional information on Daikin Applied, and its full range of commercial and industrial HVAC equipment and solutions, visit Also, follow the company on LinkedIn for the latest on HVAC technology, services and trends.

About Daikin Applied Americas
Daikin Applied, a member of Daikin Industries, Ltd., designs and manufactures advanced commercial and industrial HVAC systems for customers around the world. The company’s technology and services play a vital role in creating comfortable, efficient and sustainable spaces to work and live — and in delivering quality air to workers, tenants and building owners. Daikin Applied solutions are sold through a global network of dedicated sales, service and parts offices. For more information or to locate a Daikin Applied representative, visit or call 800-432-1342.

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Media Contact:
Aaron Parker
Daikin Applied