Grundfos has agreed to acquire US water and wastewater treatment solutions company Newterra from the private equity firm Frontenac.
Pittsburgh-based Newterra, which has around 280 employees, designs, engineers, manufactures and services a wide range of modular water and wastewater treatment solutions for industrial and municipal customers.
The agreement follows a series of strategic acquisitions made by Grundfos in water treatment in recent years, including Silhorko-Eurowater, Culligan’s Commercial & Industrial business in Italy, France, and the UK, MECO and Water Works. With the inclusion of Newterra, the company’s water treatment business will have more than 1,500 highly skilled employees across Europe and North America and revenues exceeding US$350 million.
It also underscores Grundfos’ strategic ambition to expand its presence in the important US and Canadian markets. The company aims to double its US business by 2030 and recently announced that it will expand its production footprint in the US by building a new plant in Brookshire, Texas, where the company has its US headquarters.
“This acquisition is a natural next step towards realising our ambitious growth plans for the US. Strengthening our capabilities in water treatment enables Grundfos and our customers to make an even bigger positive impact on the world’s water and climate challenges,” said Inge Delobelle, EVP & Divisional CEO, Industry Division, Grundfos.
“With Newterra’s capabilities and track record, we see this as a perfect fit for Grundfos. By integrating their complementary technologies and leveraging their market presence, we will be able to offer a wider range of products and offerings. This addition to our portfolio will enable our customers to address the evolving demands for water solutions,” said Delobelle.
“We are very excited about joining Grundfos. Our visions and shared focus on enabling sustainable solutions for our customers are well aligned. And I am sure that with our capabilities and the many strengths of Grundfos, together, we can achieve so much more for our customers and the world around us,” said Kevin Cassidy, CEO of Newterra.
The acquisition is expected to close in the second half of this year.
