Siemens filters
7 Jun 2004
Siemens has bought the water treatment systems and services arm of US Filter from the French environmental conglomerate Veolia Environnement for $993million.
The company will be absorbed into Siemens' Industrial Solutions and Services (I&S) division.
US Filter is the largest player in its sector in the US, with 5800 employees and annual sales of $1.2billion; its price represents a huge loss for Veolia which, when it was part of Vivendi Universal in 1999, paid $8billion for the whole of US Filter.
'The sale of US Filter's systems and services business generated significant interest from both strategic and financial investors,' comments Veolia Environnement chairman and chief executive Henri Proglio.
'This transaction will preserve the future and growth of these businesses and their teams, while providing attractive prospects for industrial and commercial cooperation with an important European group.'
For Siemens, the deal represents a move into the water sector, 'This acquisition is an important step in the framework of strengthening our group portfolio,' says Siemens I&S president Joergen Ole Haslestad.
'The growing water segment will play a critical role within our industrial activities. With it, we will be able to expand our product and service offerings for our customers, particularly within the world's largest water market, the US.'
The global water treatment market is currently worth around £195billion, and is growing at some 6 per cent annually.
