Munters and GEA have agreed that GEA will take over all of Munters’ assets and activities in the Water business. The Water business, which is part of Munters' HumiCool Division, produces and sells products for waste and potable water treatment and for cooling towers. The business had sales of 63 SEK (Swedish krona) million in 2005.
"It is a logical step for Munters, since the Water business has limited synergies with our core business. Munters had a similar business in the U.S., which was divested in 1995. This structural change enables us to focus on our selected target areas,” says Hannu Saastamoinen, president, Div. HumiCool.
The agreement is dated Jan. 31, 2006, and will be subject to approval by the antitrust authorities. The new structure will slightly improve Munters earnings. The one-time effects of the transaction will be slightly positive. The operations in Germany and in the UK will continue in the existing premises.