Ecolab Sells $27M Business To UK Co.
Ecolab, Inc., announced Thursday the sale of its Mobotec air emissions control business to The Power Industrial Group, a mechanical engineering business based in the England.
The St. Paul-based water, hygiene, and energy technology services company said it sold nearly all of the “capital equipment design and business” of Mobotec but retained its chemical business.
The Mobotec business focuses on combustion modeling, design, engineering, and emissions management; it utilizes patented technology to reduce the environmental impact of power plant and coal-burning industrial operations.
The company said the portion of the business that it sold had 2012 revenue of $27 million, though financial terms of the deal were not disclosed.
According to The Power Industrial Group, the core offices for the Mobotec business are in San Francisco, Chicago, and Niagara Falls, Canada. Although Ecolab couldn’t be reached Thursday morning to comment on whether the purchase will result in any employee turnover, The Power Industrial Group said it plans to “supplement the existing team by bringing in experienced personnel to meet the expected international growth in emissions control opportunities.”
“This deal secures the long-term future of the Nalco-Mobotec technology and will ensure that it continues to provide market-leading emissions-reduction solutions,” David Hayle, CEO of The Power Industrial Group, said in a statement.
Mobotec was acquired by Ecolab as part of its $8.3 billion purchase of Nalco Holding Company, a formally Naperville, Illinois-based water-treatment provider, in 2011.
Ecolab made another multibillion-dollar acquisition in April, purchasing Houston-based Champion Technologies for $2.3 billion—a deal that experienced repeated delays while the U.S. Department of Justice scrutinized it for potential antitrust concerns.
Ecolab recently saw its long-awaited acquisition pay off when earnings for its second quarter, which ended June 30, jumped 16 percent from the same period a year ago.
The company’s revenue for its 2012 fiscal year, which ended December 31, totaled $11.8 billion, up 74 percent from $6.8 billion in 2011. Ecolab currently has about 44,000 employees.