The European fire safety equipment market comprises businesses that develop and manufacture products that detect and eliminate fire hazards. Players in this industry offer sprinkler systems, high-pressure hoses, fireproof structures, flame retardants as well as fire and smoke detection equipment. As such, we segmented the European market into: (i) generalists, (ii) detection, (iii) active suppression and (iv) passive suppression & prevention.

The European market has a fragmented nature, with larger players in the generalist (e.g. Minimax Viking) and passive suppression & prevention segments (e.g. THOR Group) with niche dynamics for detection and active suppression businesses. A consolidation trend is expected to go forward, particularly driven by segment leaders, in order to acquire technological capabilities, expand product and service portfolios, gain international market access and increase proximity to customers. Herein, M&A activities are favourable for players that require local presence to achieve comprehensive service offerings (e.g. installation & maintenance). Additionally, low-innovation players (e.g. active suppression) demonstrate the strongest growth trajectory due to serving diversified end-markets and contractual agreements with clients

Sponsor-led interest has been significant with ~40% of identified assets being backed by financial sponsors (February 2023). Private equity investors are primarily attracted by the favourable regulatory landscape and long-term customer relationships, enabling clear sales visibility. Nevertheless, the market presents fewer buy-and-build opportunities in comparison to the adjacent services and maintenance niche.

Fire safety equipment plays an essential role in preventing and minimising ecological and social damage during fire accidents. On top of that, manufacturers have to maintain strong oversight of their value chains as the phasing out of toxic chemicals and the ongoing shortage of talent can affect long-term business development.