Ecolab Acquires $23M Water-Treatment Business
St. Paul-based water, hygiene, and energy technology company Ecolab, Inc., announced Wednesday that it plans to acquire a water-treatment business from AkzoNobel, a Netherlands-based paints and coatings company.
Ecolab is buying the company’s Purate technology that is used for small-scale production of chlorine dioxide, which is primarily used for the treatment of drinking water, wastewater, and cooling water.
“Chlorine dioxide is recognized as an excellent antimicrobial agent to control biologic growth primarily in cooling towers and a wide variety of other industrial water treatment applications,” Timothy Mulhere, executive vice president and president of Ecolab’s global water and process services, said in a Wednesday statement.
The acquisition price was not disclosed. AkzoNobel’s Purate business had about $23 million in 2012 revenue, according to Ecolab.
Ecolab will not begin operating the new business until the proposed transaction is completed, which is anticipated to occur in June but remains subject to closing conditions and regulatory clearance.
AkzoNobel’s Purate business currently employees about 30 workers, all of whom will remain in their positions after the transition, according to Ecolab spokeswoman Lisa Curran.
“We are very pleased that Purate will have an owner who can provide global opportunities for the development of this business,” Byron Smith, director of strategy and transformation at AkzoNobel, said in a Wednesday statement.
The Purate technology will become an offering of Illinois-based Nalco, which Ecolab acquired in July 2011.
Ecolab, which provides cleaning products, food safety services, pest control, and energy services for commercial and industrial customers, is among Minnesota’s 15-largest public companies based on revenue, which totaled $11.8 billion in 2012.
Earlier this month Ecolab made another acquisition of greater size, purchasing chemical-management company Champion Technologies for $2.3 billion. The transaction was completed on April 10 after being delayed several months due to the U.S. Department of Justice expressing anti-competition concerns.