Net sales of the acquired operations are approximately $7 million and comparable EBITDA $2 million annually, meeting the group’s comparable EBITDA margin target of above 14%. Their product offering of hot cooking oil filters is used in quick service restaurants and food service operations, mainly in China and the U.S. The combined operations are expected to generate substantial synergy benefits. The debt free purchase price is approximately $11 million.
“I’m pleased that the new foothold in China will facilitate growth for a wide range of our product offering within our highly attractive Advanced Liquid Technologies business. This deal will also double the company’s sales in fry oil filters and make us a global leader in this niche business - a foundation for creating long term value for our stakeholders. In the future our ambition is to expand the Advanced Liquid Technologies business even more through organic growth and acquisitions,” says president and CEO Hans Sohlström.
Ahlstrom-Munksjö aims to strengthen its market position in life science and laboratory product segment through further product development and partnerships. In water purification, the business will build market awareness of its proprietary Disruptor technology and confirm technology adoption in existing target segments, while proceeding with initiatives to broaden the scope of the technology. In the food and beverage processing segment, market position will be further reinforced.