Halma plc (LON:HLMA), the global group of life-saving technology companies, has announced that it has agreed to acquire Sewertronics Sp. Z o.o.
Sewertronics’ technology repairs and rehabilitates wastewater pipelines without the need to dig a trench, by inserting a lining into the pipe, which is then cured using its innovative and patented ultraviolet (UV) LED technology. This UV technology has less impact on the environment, is more efficient, less disruptive and safer than other curing methods that use hot water or steam. Sewertronics is based in Rzeszów, Poland, and it has sales and service partners in most major regions.
The initial cash consideration for Sewertronics is €41m (approximately £36m) on a cash- and debt-free basis, to be funded from Halma’s existing facilities. Additional considerations of up to €18m (approximately £16m) may be payable in cash, based on the fulfilment of certain conditions. Completion of the acquisition is subject to certain closing conditions and is expected to occur by the end of May 2023.
Sewertronics’ unaudited revenue for the 12 months to 31 December 2022 was €8.1m (approximately £7.1m). Sewertronics will be a standalone company within Halma’s Environmental & Analysis sector, and will collaborate with Minicam and Dancutter, existing Halma portfolio companies, who operate in the same end-user markets.
Marc Ronchetti, Group Chief Executive of Halma, commented:
“Sewertronics is highly aligned to our purpose, helping to protect the environment by reducing blockages and leakage in wastewater pipes. We expect Sewertronics’ growth to be driven by the increasing need to repair ageing wastewater infrastructure and reduce wastewater leaks, and by investment in innovative technologies which minimise the disruption to surrounding infrastructure and reduce the resources required to carry out repairs.”
César Gómez, Chief Executive Officer and Founder of Sewertronics, commented:
“Overcrowded cities, heavy downpours and climate change are all putting increasing pressure on wastewater infrastructure. Our technology helps to prevent wastewater pollution, while maximising efficiency and safety when repairing pipes and avoiding the need for disruptive and expensive excavation. Sewertronics is highly aligned with Halma’s purpose of growing a safer, cleaner, healthier future for everyone, every day. By joining Halma, we will benefit from its global network, resources and expertise, and from collaboration with other Halma companies, particularly those focused on solutions for the wastewater sector.”
