H2O Innovation to buy Piedmont Pacific
Canada's H2O Innovation Inc announced on 25 November 2013 the signing of an agreement to purchase all of the issued and outstanding common stock shares of Piedmont Pacific Corporation, the Oakland-based flexible pipe couplings manufacturer, for a total consideration of approximately Can$ 4.0 million (US$ 3.8 million).The founder and president of Piedmont Pacific, Jim Medanich, died earlier this month.
Piedmont, created in 2002, provides a broad product line that spans a wide range of industrial and municipal applications mostly using membrane-related technologies and was the first to introduce couplings made of duplex and super duplex stainless steel. Among numerous references in the desalination industry are the 263,000 m³/d water reuse plant in Orange County (USA), the 200,000 m³/d Barcelona desalination plant (Spain) and the 250,000 m³/d Sydney desalination plant (Australia).
Piedmont's revenues mostly come from seawater and brackish water desalination projects through a North American and international sales network of original equipment manufacturers, distributors, municipal and industrial clients. Piedmont's activities will be integrated under the umbrella of the consumables business line due to the recurring nature of the sales and customers profile.
"The acquisition of Piedmont will allow H2O Innovation to increase its presence in the membrane desalination industry through a large international sales network that we intend to maintain and support actively," stated Frederic Dugré, president and CEO of H2O Innovation. "Piedmont will be integrated to our existing ERP system, logistics & supply chain processes and will benefit from the testing, warehousing, packing and shipping capabilities of our existing facility in Vista, California, thus reducing operating costs."
"Our strong experience for local and international shipments of speciality chemicals to our clients will enable us to continue to provide the couplings' clients with an outstanding customer care," Dugré added. "Moreover, our engineering experience and capabilities related to membrane systems design will strengthen the product offering and customer support".
Closing of the acquisition is expected on or around 5 December 2013.