H2O Innovation Inc. entered into an agreement to acquire Clearlogx Inc., a control technology and specialty coagulants company, according to a press release.
Gregg McLeod, director and shareholder of Clearlogx, developed the technology, noted the release. It controls the specialty coagulant feed in water treatment to maintain proper pH and optimum particle charge. The technology is designed to minimize membrane fouling.
H2O Innovation will also purchase Clearlogx’s business that sells coagulants for conventional and membrane filtration systems, stated the release. The business unit complements H2O Innovation’s specialty chemicals, PWTTM.
“This acquisition fits perfectly with H2O Innovation’s vision to complement its offering to its customers and to create synergies between its different business lines," said Frédéric Dugré, President and CEO of H2O Innovation. Moreover, this transaction will be accretive from day one to our earning with current sales of approximately $1.2 million per year and an EBITDA level reaching 15 to 25 percent of Clearlogx’s revenues. This new business unit will undoubtedly contribute to the growth and profitability of H2O Innovation by complementing its offering, generating more recurrent sales and bringing differentiation."
The transaction does not require equity financing, reported the release. The acquisition is expected to close at the beginning of October.
You can find the entire release here.