DSI snaps up Passavant-Roediger for US $39.4m
Adds wastewater, water and sludge treatment technologies to portfolio
Drake & Scull International PJSC (DSI) has acquired Passavant-Roediger, a global developer of wastewater, water and sludge treatment technologies with over 5,000 installations and a presence in 13 countries across Europe, Middle East, North Africa and Asia.
In a deal worth US $39.4 million (AED 145million), DSI will own 82% of Passavant-Roediger. The remaining 18% will remain with Bilfinger Berger, a publically listed German company internationally active.
“This is a strategic acquisition that realises the company’s plans for both vertical and horizontal expansions,” says DSI CEO, Khaldoun Tabari. “It gives DSI vertical expansion by adding to the services that the company offers, and horizontal expansion through opening new markets and providing the company with a larger geographical reach.”
Tabari said that research showed the wastewater treatment market was likely to grow by 224% globally in the next three years. “Around $25 billion per annum is currently being spent on wastewater treatment worldwide, with demand set to rise sharply in the coming years, exceeding $81 billion by 2012. Key growth areas will be China, India and the Middle East, with each increasing their annual investments in wastewater treatment by more than 8%.”
Tabari added there was a clear need for water, wastewater and sludge treatment solutions in the Gulf, and that treating and reusing water was essential for sustaining resources.